BBC LINES UP FOR ONLINE ADVERTISING

THE BBC have confirmed they are considering commercial advertisements on their internet service, BBC Online.
Commenting on an interview with BBC Director-General, Greg Dyke, featured in the 'Financial Times', a BBC spokesperson said a cast iron decision had not been made, but that the proposal involving advertising on BBC Online arose during the initial stages of brainstorming. Dyke stated that if they did decide to proceed with this the Online news and education service would remain free without advertising and stressed that he was opposed to advertising on BBC television and radio.
The move would be aimed at increasing revenues to put into programming and online content. The BBC will still need to raise £400 million from commercial sources to meet their programme making ambitions in 2002 to 2006.
BBC spokesperson said: “We have not made any concrete decisions at this time we are bouncing the idea around. The corporation are under an obligation to viewers to maximise commercial revenue and this is just one of the ideas that they are examining at the moment. We must stress that the BBC have no intentions of advertising on any other levels such as terrestrial television channels.”
Dyke suggested that if they do decide on advertisements he may consider bringing parts of Beeb.com the commercial arm of BBC Online, which already advertises, onto parts of the Online service directed at domestic, licence-fee payers and users.
This news has already created speculation on the expected reactions from both new media rivals, who compete for online advertising and politicians resistant to commercialisation of the public service broadcaster.