Demand for 5p online TV shows

Consumers would be happy to pay a small fee to watch TV programmes online, according to the entertainment company behind shows such as The X Factor, Britain's Got Talent and The Bill.

FreemantleMedia claims its research demonstrates that viewers are willing to pay small amounts for on-demand TV programmes from 5p up to as high as £2.

“Micropayments as an online business model have often been attacked as unworkable because internet users are used to free content,” said Tony Cohen, chief executive at Freemantle. “But while online viewers have a huge appetite for programming many would use legal services if they were available.”

The recent Digital Britain report said the Technology Strategy Board is to work with industry partners such as Freemantle and ITV to research the feasibility of a low-cost on-demand pay-per-view model.

"For micropayments to work, we need to provide a pain-free, one-click service for users," added Cohen. "Freemantle, together with others in the sector, is funding a usability study for such a service and we should have the results in the autumn."

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