TV dispute gets' increasingly heated'

By Jamie McIvor BBC Scotland correspondent

STV and ITV are in legal disputes over programmes and new media rights

The latest twist in the increasingly heated dispute between STV and ITV shows that it is becoming hard to offer STV protection in its franchise areas of Central and Northern Scotland - and that the business model on which the ITV network was built is living on borrowed time.

The problem from STV's point of view is that one company - ITV plc - now dominates the channel 3 network. It owns all the former regional stations based in England and Wales including Border TV.

But the interests of ITV plc are not necessarily the same as those of the smaller stations which are still independent companies: STV, UTV in Northern Ireland and tiny Channel TV in the Channel Islands.

STV incurred the wrath of ITV plc by dropping several network favourites including The Bill and Midsomer Murders and not paying. STV says it is entitled to drop the shows and does not need to pay for them. ITV says it does.

Now STV is claiming that it is owed money by ITV and is also unhappy about the way ITV uses the online rights to network programmes.

Financial arrangements

STV's online catch-up service - the STV Player - has to compete directly with ITV's equivalent - the ITV Player. ITV also offers a catch-up service on Virgin Media.

But whatever the legalities of the dispute and the costs involved, it is difficult to see how it might be possible to stop viewers in the STV area accessing the ITV Player.

There is, frankly, no realistic way of preventing only those people who live in the STV area from looking at a website which is available everywhere else in the United Kingdom.

The Bill is one of the programmes STV has dropped

STV can merely seek to alter the financial arrangements so it does not lose out and persuade the public that its counterpart is a better choice.

Scottish fans of programmes dropped by STV, like The Bill, have been turning to the ITV Player so they can watch their favourite shows.

Meanwhile more than 100,000 people in Scotland are believed to be tuning in to the dropped shows on ITV1 London which is easily available on Sky Channel 993 and Virgin 853.

Some Scottish newspapers are even printing ITV1 London's schedule.

The financial arrangements between STV and ITV plc may change radically. STV has spoken of a new deal where it simply buys in the programmes it actively wants from the network.

Many in Scotland would be sorry if STV were to be sidelined or if its future was jeopardised. It is the only Scottish television broadcaster other than the BBC.

However, the idea that it is possible to artificially restrict the geographical areas in which different television companies operate is fast becoming a historic anachronism - as is the idea that the public can be told which station to watch or which website to use, regardless of the legalities of the old ITV regional franchises.

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