Media News - Wednesday, June 25, 2008

BBC to be scrutinised by Ofcom over plans to expand website

Plans by the BBC to expand its website are to be closely scrutinised by the telecoms regulator amid fears that the corporation's online activities are stifling competition. The BBC wants to broaden the reach of its website, bbc.co.uk, by spending GBP 68m (EUR 86m) over the next five years on more localised news services for people across the country. However, the plans have been roundly condemned by cash-strapped regional newspaper owners who fear that the BBC will take readers away from their sites. They say that the corporation should not be using licence-fee payers' money on duplicating services already provided by local newspapers. The proposals, which were published on Tuesday, will be assessed by Ofcom, which must evaluate the impact any new BBC service might have on commercial rivals - in this case, local newspapers, local radio stations and mobile telephone services. Under the proposals, the number of local websites would increase to 65 and would be expanded to include three daily bulletins for news, sport and weather. (The Telegraph)

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