iPlayer goes for first ever BBC Public Value Test

The BBC Governors announced today that the first Public Value Test - to be carried out on an application from BBC management to launch the BBC's new on-demand proposals (including BBC iPlayer) - has begun.

^{Brian Butterworth published on UK Free TV 31st August 2006 at 18:37}

The BBC iPlayer could be launched in early in 2007. The service is similar to www.uknova.com, but will be run by the BBC, rather than third parties.

The BBC Governors announced today that the first Public Value Test to be carried out on an application from BBC management to launch the BBC's new on-demand proposals (including BBC iPlayer) has begun.

The Governors have this week received BBC management's formal application for approval of BBC iPlayer, a service to unify the BBC's provision of audio and video content on-demand and to make it available to UK audiences over the internet.

The application proposes a service that would consist of:

• Seven day TV catch-up over the internet
• Simulcast TV over the internet
• Non-time limited audio downloads over the internet

The three internet-based offerings would be combined into a direct-to-consumer offering, BBC iPlayer, which would incorporate all the existing BBC players such as the Radio Player.

In addition, the application also covers seven day TV catch-up over cable.

The Public Value Test

The Public Value Test (PVT) is one of the key tools underpinning the radical change in the BBC's system of governance, which takes effect with the new Charter and Agreement on 1 January 2007.

In future, the test must be applied by the BBC Trust to provide a consistent and evidence-based framework to inform their decisions about significant service-related investment proposals from BBC management.

All major service-related investment proposals will be subject to a PVT to assess the net public value created once measured against market impact.

The Governors have previously made clear their commitment to subject any proposal from BBC management to a PVT if that proposal would qualify under the terms of the new Charter.

There are two parts to the Public Value Test:

• The Public Value Assessment (PVA), which measures the public value which would be created by a service. This is conducted by the Governors' own advisers in the Governance Unit.
• The Market Impact Assessment (MIA), which measures the likely impact on existing or potential value created in the wider market as a result of the change.

As outlined in the Charter and Agreement, the MIA will be carried out by Ofcom under terms agreed by a Joint Steering Group comprised of BBC Trust and Ofcom representatives.