ITV has announced that it is in preliminary discussions regarding the potential sale of its television business to Sky for £1.6 billion. The negotiations are centered on ITV’s Media and Entertainment division, which encompasses its TV channels and the ITV X streaming service. This development occurs amidst growing competition in the television industry from streaming services such as Netflix and Disney.
The proposed agreement would exclude ITV’s production arm, ITV Studios, known for producing popular programs like Love Island and I’m a Celebrity… Get Me Out of Here. As ITV navigates these discussions, the company has also forecasted a 9% decline in advertising revenue for the last quarter of 2025, attributing this caution among advertisers to expected tax increases in the upcoming Budget.
Media analyst Ian Whittaker noted that if the merger were to occur, Sky and ITV would control over 70% of the UK television advertising market. He indicated that such a level of market dominance would typically raise concerns among regulators, potentially preventing the deal. However, given ongoing uncertainties in the television landscape, Whittaker suggested that the acquisition could be interpreted as a form of rescue for ITV.
As the dialogue between ITV and Sky progresses, the implications for the UK media market and regulatory responses remain in question.
Source: https://www.bbc.com/news/articles/czxk7j87xd0o?at_medium=RSS&at_campaign=rss