New Dawn for BSkyB?

Dawn Airey, reputed saviour of Channel 5 and 'golden child' of the television sector, has been headhunted by BSkyB in a move that has sent shockwaves through the industry.
Airey is to become managing director of Sky Networks, responsible for all the satellite network's programming content apart from sport, and reporting directly to chief executive Tony Ball.
Airey, the chief executive of Channel 5 since 2000 and director of programmes since 1996, has been at the centre of media speculation for months over a well-publicised job offer from the beleaguered ITV.
Granada chief Charles Allen led the ITV charge to bring Airey onboard, but struggled to overcome problems with her requirement for sole and complete control of programming – unheard of in the bureaucratic quagmire of ITV.
While Rupert Murdoch's BSkyB certainly have the resources to tempt Airey, other reasons behind the move are less than clear. Some commentators believe that the appointment shows a renewed BSkyB commitment to improve the standard of programming, while others suspect that Murdoch may simply relish a victory over ITV.
Airey will be responsible for a network that follows a broadly similar model to Channel 5 – youth programming, movies and lightweight documentaries. While it may initially seem strange that she would leave Channel 5 for a position that appears very similar, BSkyB are part of a global media giant and could open many doors for Airey, including the possible opportunity to work in America, considered the 'promised land' of television.
The failure to secure Airey is another embarrassment for ITV, but sources at the network are already dismissing the importance of the woman they chased for so long, pointing out that while she raised Channel 5's ratings from 4% to 6.5%, to raise ITV's from 31% to 33% would be an entirely different matter.
Perhaps more worryingly for ITV, however, are backroom whisperings that if someone of Airey's talent sees the network as a bad risk, things may be worse than they seem.
The consequences of Airey's defection may stretch even wider in the long term, as when restrictions on media ownership are relaxed under the Communications Bill Murdoch will be free to bid for Channel 5 if he chooses, paving the way for a cross-promotion dream tie-up between Channel 5 and Sky One. With Airey onboard with BSkyB, it is seen as likely that Channel 5 shareholders would be more amenable to any future Murdoch proposal.
Speculation will no doubt increase as more information is made available, but it is clear that BSkyB have secured an executive with a track record of success. Under Airey's guidance Channel 5 have built a sustained audience share of 6.5% and came close to breaking even in their latest financial report.
Revenues were up 15.2% to £76.39m for the first six months of the year, while losses at the channel were back cut significantly, leaving it just £1.89m away from break-even.
In a memo to Channel 5 staff explaining her shock departure, Airey has apologised for the timing but said she "could not resist" the chance to work at BSkyB. She also outlined her confidence in the future of Channel 5, saying: "As you have heard me say many times, winning teams must change, and five is just that - a winning team. The company is in the rudest possible health - great programmes which deliver audiences and critical acclaim, a great new on and off-air look, a superb sales performance and, above all, a first rate group of employees."
(GB)