Oct 12, 2005 • 1 min read

BBC push for higher licence fee

Mark Thompson and Michael Grade are pushing for a higher licence fee to fund mobile and broadband TV ambitions, which critics say gives the BBC an unfair advantage.

How the BBC operates in the download and webcasting space is particularly important at the moment, because the Beeb's bosses Mark Thompson and Michael Grade are pushing for an increase in the licence fee to fund their ambitions in mobile and broadband TV.

As with the BBC's investments in digital TV and radio, and in conventional websites, this all poses an interesting debate. The Beeb has the reach, resources and archives that enable it to be a pioneer in the development of new content delivery platforms - introducing the wider public to new media platforms. All well and good, except when the Beeb's licence fee funded reach, resources and archives means it has an unfair advantage over commercial players trying to build a business by developing the same content delivery platforms.

The BBC argues that if it didn't invest in these new platforms the chances are they'd never actually take off - meaning that without the Beeb's investment both the commercial players and the wider public would lose out. On that point, they're probably right, but the Corporation won't win too many political friends if they go around pissing off entertainment companies like the classical labels. And they'll need some good political friends if they want the licence fee up to £150 by 2013.

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