Quick Summary
Sky is buying ITV in the largest British TV takeover to date.
The combined company will launch its own "integrated" streaming service to take on the likes of Netflix, Prime Video and Disney+.
Sky shook up the British TV scene when it first launched 35 years ago. Then named BSkyB, it redefined the television landscape with scores of new channels, and in collaboration with the newly-formed Premier League, it went on to reinvent sports coverage too.
Now it plans something equally as seismic, with the announcement that it is to buy ITV in a £1.6 billion ($2.13 billion) deal.
If approved by the UK's regulators, a combined Sky and ITV will become the largest commercial broadcaster in the country by far. And the ambitions don't stop there.
While there is a commitment to maintain independent "editorial voices" for both ITV News and Sky News, and ITV's free-to-air channels, there are also plans to create a new, UK-focused streaming giant to take on the likes of Netflix, Amazon Prime Video, Disney+ and Apple TV.
ITV currently operates the free ITVX service, while the Comcast-owned Sky has Now – its paid, streaming-only service. It's not clear whether either or both will remain, but the new "integrated" platform will be looking to serve "over 16 million viewers".
Will the Sky deal impact the ITV shows I love?
ITV Studios will not be part of the buyout and will operate as a newly-formed separate company. That means shows will continue to be made independently. However, all of your current ITV favourites should remain on their free-to-air channels as before – for the next five years, anyway.
Sky has negotiated deals with ITV Studios to retain popular programming.
"As long as consumers love Coronation Street, we will absolutely be delivering Coronation Street," said Dana Strong, CEO of Sky.
"We've got all of the shows that consumers love in a five-year contract. That's a pretty long contract in our industry."
It will renegotiate extensions after that.
Interestingly, Sky Glass, Sky Stream and Sky Q also offer free subscriptions to the likes of Netflix, HBO Max and Disney+, so it'll be interesting to see what happens to those agreements when it launches a direct competitor.
One thing's clear though, if the takeover is ratified, Brits will finally end up with a super streaming service of their very own.
