Five withdraws from Project Canvas

Five has pulled out of further investment in Project Canvas, the internet-connected digital television consortium, pending a review of the broadcaster's digital activity.

The broadcaster, which is currently up for sale, is understood to be unwilling to bear further costs of the venture, to which it has already contributed since joining in summer 2009.

Project Canvas has estimated its total costs over a four-year period at £115.6m in a submission to the BBC Trust.

Five claims its final decision depends on the outcome of a review started by director of strategy Charles Constable. It is still likely to provide content to the platform.

Constable said: "We continue to support the objectives of Project Canvas and despite withdrawing our interest in the venture we believe it will be a critical part of our strategy for reaching consumers in the future."

Project Canvas, which is not yet formally incorporated, has been seeking equal investment from all seven partners, which include the BBC, ITV, BT, Channel 4, TalkTalk and Arqiva.

It is not yet clear how Five's costs would be shared between the remaining six partners.

The BBC has been required by the BBC Trust to ensure its involvement does not exceed its estimated costs by 20% over a five-year period, as a condition of the Trust approving the project in June.

A spokeswoman for Project Canvas said it was now looking at the implications of Five's decision.  

The platform was expected to launch before Christmas.

Have your say...

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Media Week Jobs
Search for more media jobs

Latest

Pre-tax profits fall by 90% at UTV

Pre-tax profits fall by 90% at UTV

UTV Media has reported a fall in pre-tax profits of 90 per cent for the first half of 2015.

Share
Why publishers' brand strategy must be fluid and flexible

Why publishers' brand strategy must be fluid and flexible

Jerry Wright, the chief executive of ABC, warns not to place too much faith in false dawns or recent sunsets in the publishing sector.

Share
The trillion dollar question: can Facebook's virtual assistant succeed where others have failed?

The trillion dollar question: can Facebook's virtual assistant succeed where others have failed?

Think of a world where Facebook knows where you are, where your next meeting is, and how long it'll take you to get there, imagines Mindshare's head of mobile.

Share

Get news by email