The £68 million project, which would have seen the BBC procuring local news and video sites for all areas of the UK, has been given the thumbs down by the BBC trust.
Originally, the project was going to provide sixty different local websites as well as five in Wales, and would have employed anything up to four hundred staff.
However, right from day one the project was under fire for the local press and radio, who feel that the local web services that they have created would suffer from a loss of advertising revenue and the project would put these businesses at risk.
The BBC Trust sees the need for the increased local news and content, but feels that this project is not the way to achieve it.
They also recognised the situation of the other local services, such the press and radio, who are already suffering from low advertising revenues.
Nevertheless, this is not the end of matter as the decision could be overturned, as it is up for public consultation with a final decision being made on the 5th January 2009.

HDTV/3D TV News
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