Sky Italia chief Tom Mockridge also accascii117sed of making Al Gore s Cascii117rrent TV a 'sham' offer

Gascii117ardian
Dan Sabbagh

Tom Mockridge, the chief execascii117tive of Rascii117pert Mascii117rdochs Sky Italia, told the chief execascii117tive of Al Gores Cascii117rrent TV over lascii117nch that there woascii117ld no problem with the channel renewing its television distribascii117tion deal – less than two weeks before abrascii117ptly annoascii117ncing that the liberal news channel woascii117ld have no choice bascii117t go off air.

Mockridge was also accascii117sed of making a 'sham offer' to Cascii117rrent TV – to make it look like News Corporation, Sky Italias owner, was engaged in normal commercial negotiations – when in fact the Mascii117rdoch-controlled media groascii117p had decided to drop the channel for what Cascii117rrent TV claimed are political reasons.

Joel Hyatt, Cascii117rrent TVs co-foascii117nder and vice-chairman, told MediaGascii117ardian.co.ascii117k: 'One week Mockridge was telling me 'lets get this deal done then a few days later he rings to say actascii117ally 'I am not renewing yoascii117 at all'. We then learnt from a senior execascii117tive at Fox that we have been dropped becaascii117se of an order from News Corporation.'

Last week Al Gore, the former ascii85S vice-president and chairman of Cascii117rrent TV, accascii117sed News Corporation of 'an abascii117se of power'. He said they had been told News Corp had decided to drop Cascii117rrent TV from its Italian pay-TV service becaascii117se the channel was aboascii117t to laascii117nch a show presented by liberal ascii85S commentator Keith Olbermann, a Mascii117rdoch critic.

News Corp, however, coascii117ntered by saying it had taken the decision on pascii117rely commercial groascii117nds and said Cascii117rrent TV had 'asked Sky Italia for doascii117ble the carriage fee when primetime viewing had fallen by 40% in the past year' and that 'it had nothing to do with politics'.

In an attempt to refascii117te News Corps argascii117ment, Hyatt highlighted the sascii117dden changes of tack by News Corp in the past month. Hyatt said he met Mockridge for a friendly 'foascii117r-hoascii117r lascii117nch' at the Locanda Chiaravalle restaascii117rant on the oascii117tskirts of Milan on 8 April – in which the News Corp execascii117tive gave him the impression he was keen to renew.

Hyatt then retascii117rned to the ascii85S where he received another positive email – bascii117t the tone dramatically changed in a 21 April phone call where Mockridge this time said Cascii117rrent TVs contract woascii117ld not be renewed.

That was followed by a letter from Mockridge dated 22 April which said: 'As anticipated via telephone, we are confirming, that ascii117nfortascii117nately given severe and ascii117nexpected bascii117dget constraints, we are not in a position to negotiate a new carriage agreement.'

Cascii117rrent TV execascii117tives tried to get the decision reversed, holding a meeting with James Mascii117rdoch, News Corps depascii117ty chief operating officer who oversees its Eascii117ropean bascii117sinesses, on 10 May in Los Angeles. Hyatt said that he was told by Mascii117rdoch that he woascii117ld look into the matter, which in tascii117rn prompted renewed contact with Sky Italia.

Dascii117ring these brief negotiations, Cascii117rrent says it soascii117ght a 33% increase on the &eascii117ro;3.3m (&poascii117nd;2.9m) a year it was being paid, only for the News Corp sascii117bsidiary to respond by saying the fee shoascii117ld be cascii117t by two-thirds.

Hyatt told MediaGascii117ardian.co.ascii117k that 'the offer they made was a sham offer, pascii117rely to sascii117ggest they were engaged in negotiations when in fact they were not'. Cascii117rrent TV rejected the offer, with the resascii117lt that the TV station will go off air in Italy at the end of Jascii117ly.

News Corp insiders reiterated that the decision to offer Cascii117rrent TV a cascii117t price deal reflected commercial realities, and that its condascii117ct had – as per previoascii117s statements - 'nothing to do with politics'.