C4 Agrees New Producer Rights Deal With Pact

Channel 4 and Pact have reached agreement on new media rights after months of negotiation. The broadcaster will now have a 30-day exclusive window in which to exploit its programmes via all platforms. The deal will allow C4 to launch video-on-demand channels this autumn, with exclusive rights to distribute programmes via VOD for 30 days from the programme's first transmission on C4. VOD will be available on a free, pay per view or subscription basis. 

Once the 30-day window has elapsed, the parties can agree a five month extension, but if, at that point, an independent producer opts a programme out from C4's VOD service, the channel has a five-month holdback right, preventing the producer from distributing the programme on a rival VOD service during that time.

Producers will share pay sevice revenue or receive a "royalty payment" if the service is a free one. Payment to indie producers will increase in line with the number of views a programme receives. The producers share of pay-per-view or subscription revenue generated, will be calculated after costs have been deducted. The new deal also gives options to C4 and producers to agree rights for a longer period.

The BBC and Pact last week agreed to a 13-week window for new media allowing viewers to download programmes that they can watch as often as they wish for one week. They also agreed to reduce holdback limitations for indie programmes broadcast  by the BBC.