By Jason Theodorou
ITV is moving into pay TV services, after negotiating a deal to create high definition versions of it's popular tv channels on Sky. ITV2, ITV3 and ITV4 will all be available as part of Sky+ HD's subscription package, in a bid to maximise revenues from non-television advertising.
ITV reported a pre-tax profit of £97 million for the first half of the year, compared with a loss of £105 million sustained a year ago. The broadcaster has revived its fortunes after seeing an increase in advertising revenues of 18% on the first half of 2009.
ITV chief executive Adam Crozier said: 'Pay television has seen continual growth over the last decade, and this deal is a great example of how a new, subscription-based launch can compliment ITV's existing free-to-air channels'.
Mr. Crozier plans to change the culture and organisation of ITV and bring the company to a point where 'half of the revenue base comes from non-television advertising sources'. The TV advertising market had its worst year on record in 2009, but was boosted by World Cup spending this year and has shown signs of recovery.
ITV2 HD will launch in October, with the other channels following later in the year.
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