Sky has pledged to spend £2bn on ITV's studios business over the next five years as it negotiates a £1.6bn takeover of ITV's broadcasting arm. The deal, which could be announced in early July, aims to safeguard popular programmes such as Coronation Street and Love Island.
The proposed acquisition involves ITV's media and entertainment operations, including its free-to-air TV channels and the ITVX streaming platform. ITV Studios, a major production company responsible for shows like I'm a Celebrity...Get Me Out of Here! and Mr Bates vs the Post Office, would remain a standalone listed company.
Sky, owned by Comcast, has agreed to commit £2bn in spending over five years, continuing an existing arrangement. This is not new money, according to a source, but is expected to put ITV Studios on a solid footing and guarantee the future of key programmes.
The deal is likely to face scrutiny from the Competition and Markets Authority (CMA) and Ofcom. Concerns include Sky's ownership of Sky News and ITV's 40% stake in ITN, as well as the combined TV ad sales operations potentially giving Comcast control of over 70% of the UK market.
Analysts predict heavy job losses at ITV to remove duplication. Sky's ambition is to create a UK streaming champion by buying ITVX, which had 16.5 million monthly active users in 2025. Remedies may include relinquishing third-party ad sales deals to address competition concerns.
