Sky attacks the funding of Canvas

BSkyB has launched an attack on the way that rival broadcasters plan to fund the proposed internet TV service Canvas.

BSkyB is accusing the BBC of using TV Licence payer’s money to invest in the development of Project Canvas, which is widely viewed as being a successor to the current Freeview service.

Project Canvas is a joint venture between the BBC, ITV, BT and Five.

The service will provide TV over the internet though a new set top box.

The equipment is set to go on sale before the end of 2010, just in time for Christmas, at an estimated cost of around £150.

BSkyB is concerned that the BBC is attempting to create its own platform, instead of contributing to the development of an industry-standard system for bringing web-based content to televisions.