Can somebody explain how this is different to how the terrestrial freeview infrastructure is owned and operated? Isn't terrestrial freeview owned by a consortium of broadcasters and they each have a share of the multiplexes? The limitations of DVB-T is the width of the frequency band limiting the number of multiplexes (and dependent on quality / bitrate) and channels carried? With the internet, the bandwidth available is always growing, surely the SeeSaw service would have opened the door for more broadcasters to buy shares in the service and deliver their content to a wider audience without being limited to the one and only UK broadcaster with a big fat "pipe" capable of carrying literally hundreds of channels, Sky.
Originally, there were two licenses for satellite broadcast, BSB and Sky won them. It was a very short period of time before the company without a bottomless fughting fund, BSB (who also had the more innovative technology and higher quality sound and picture - betamax anyone?) were forced to sell out to Sky who then owned both satellite broadcast licenses and have continued to base their broadcasting on the same transmission method, leaving a very few rusty squariels under the eaves of Britain's homes. Will the competition commission's attempts to encourage competition lead to multiple, competing sevices being established which then end up merging as BSB and Sky did.
VOD is an area where the UK is a worldwide innnovator, following on from years of lagging behind on broadband provision [and Hollywood?] according to every survey and with government goals of getting broadband into every home in the next few years, this has knocked the UK back two years in this burgeoning area of the entertainment industry.