The BBC's plan to roll out an on-demand video service -- which would include up to 10,000 hours of programming -- is getting the fine-toothed comb from British regulators, who are making noises about how the service could have unfair "market power."
The project, known as Kangaroo, is a joint venture between BBC Worldwide, Channel 4 and ITV, which will include recent shows as well as old archive footage. In its defense, ITV chairman Michael Grade said regulating the effort would give "American rivals an advantage over British broadcasters."* *
Just how big of an advantage will those "American rivals" have? If Hulu qualifies as a competitor, and if revenue counts for anything, the edge is modest. The joint venture backed by NBC and Fox may generate a modest $45 million to $90 million in its first 12 months, based on Alley Insider estimates.
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