Big Brother 2 prompts pay-per-view

Channel 4 is to start charging for online content, in a push to make its online activities profitable. The broadcaster launches a premium rate video streaming service in the next two weeks.

Flush with the success of its Big Brother 2 website, Channel 4 believes the time is right to start charging users for online material.

Mark Brandon, COO of Channel 4 Interactive, told silicon.com: "We're at the point where we are going to start doing some of this. We're about to do something in the video-on-demand space."

silicon.com has learned that the planned debut for the service will be at the Reading Festival over the bank holiday weekend (25 to 27 August). If the broadcaster and its technology partners can iron out details of the deal by next week, website users will be asked to pay for live footage of bands playing at the event.

"I don't think it's going to make us rich," Brandon admitted, "I don't expect one deal to transform the market."

The payment method is likely to be a drop-dial ISP, which disconnects users from their standard internet provider and reconnects them at a premium rate.

Channel 4 has been experimenting with the technology for some time, but is still unsure whether it will be popular with users.

One company working with Channel 4 is PremiumServe, a UK provider of premium rate ISP services.

Its chief executive Russell Allen believes the market is on the verge of a breakthrough, but broadcasters need to move more quickly.

"It's difficult to deal with internal politics of companies," he said. "They're no longer rushing to do stuff online, internet time has gone and we're now back to normal business time."

Channel 4 and programme maker Endemol may regret their decision not to charge for content on the Big Brother 2 website after it pulled in more than 155 million page impressions over 10 weeks.

"We could have made the Big Brother website paid-for but we decided not to," said Brandon. "We decided the market wasn't ready for that quantum leap."

Earlier this month, CBS released figures showing over 25,000 US users have bought a $19.95 subscription to watch highlights from the American version of Big Brother 2 online.

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