Project Kangaroo (SeeSaw), a joint broadband Internet TV (IPTV) service venture between the BBC, ITV and Channel 4, received more flak today after both BT and Tiscali warned of the damage it could do to the fledgling pay-TV market, reports C21Media.

The warnings came as part of an official response by both ISPs to a Competition Commission (CC) investigation, which was kicked off by complaints from rivals Sky and Virgin Media over fears of the project having an unfair advantage due to the broadcasters public service positions.


It's worth pointing out that the pay-TV market is already dominated by BSKyB and Virgin Media in the UK, although broadband Internet TV (IPTV) services are harder to gauge. Naturally BT, which has its own BT Vision IPTV services like Tiscali, chose to adopt a similar stance:


Typically Tiscali's own TV service (formerly HomeChoice) appears to have been shrinking, while uptake of BT Vision should have done better than the 280,000 customers it already has. It's easy to see where the concern comes from. It's now hard to perceive Project Kangaroo going forward without some sort of restriction.