A last minute deal between ITV and Sky means that the former's new digital channel will be carried by the latter's digital network.
As previously reported, Sky had objected to ITV3 because it conflicted in remit with Granada Plus - a channel jointly owned by ITV (via its Granada division) and Sky. Sky initially hoped it could get a share in ITV3 instead, but ITV boss Charles Allen was known to be resistant to this proposal. After that, it looked likely both ITV3 and Granada Plus would have to co-exist, reducing the amount of ITV archive programming available to ITV3 and denying the new channel of a slot on Sky's electronic programme guide.
However, in a last minute deal, ITV bought out Sky's 49.5% stake in Granada Sky Broadcasting (which owned Granada Plus) in a deal said to be worth over £10 million. As a result Granada Plus will switch over to ITV3 as the new channel launches on Freeview later today.
Announcing the deal, Allen said yesterday: "Incorporating recent popular drama from ITV1 with the best of Plus into ITV3 will create the strongest possible proposition for viewers and advertisers. This deal delivers on our strategic objective to build the ITV family of digital channels and will enable ITV3 to maximise its potential."
No word yet on what the deal means for the future of the only other Granada Sky Broadcasting channel still active - good old Granada Men and Motors.