Virgin Media has responded to Ofcom's consultation into Pay TV and Sky's dominance by insisting that it is encouraged that the communications watchdog has recognised Sky's dominance.

With Sky already telling TechRadar that is looking forward to further dialogue with Ofcom, Virgin Media believes that the investigation will ultimately mean fairer pricing on the wholesale premium channels such as Sky Movies and Sky Sports.

"Virgin Media has long argued that the pay TV market currently operates in a way that serves the interests of Sky rather than the consumer, a Virgin Media spokesman told TechRadar.

Encouraged

"We are therefore encouraged that Ofcom has recognised Sky's dominance in the wholesale supply of its sports and movie channels and is proposing to take action compelling Sky to supply these channels to other pay TV providers in a fair and non-discriminatory way.

"We believe such arrangements are the very least that are needed to deliver consumers lower prices, increased choice and more innovation."

What does it mean for the consumers?

Both companies – it seems – are taking heart from the report for very different reasons.

For Sky, the prospect of the Competition Commission getting involved has faded, and for Virgin Media the pricing of the wholesale channels will now be more open.

Of course, many will wonder why Ofcom's investigation did not focus on all pay TV channels and not just the premium ones, and it remains to be seen if the new open pricing system for wholesale channels from Sky will actually see a reduction in cost to the consumer.