BBC and ISPs clash over iPlayer

A row about who should pay for extra network costs incurred by the iPlayer has broken out between internet service providers (ISPs) and the BBC.

ISPs say the on-demand TV service is putting strain on their networks, which need to be upgraded to cope.

Ashley Highfield, head of future media and technology at the corporation, has said he believes the cost of network upgrades should be carried by ISPs.

Simon Gunter, from ISP Tiscali, said the BBC should contribute to the cost.

He said the BBC did not understand the issues involved.

'Bit odd'

The popular iPlayer service lets users download or stream programmes to a PC.

In its first three months more than 42m programmes have been accessed via the catch-up TV service.

According to figures from regulator Ofcom it will cost ISPs in the region of £830m to pay for the extra capacity needed to allow for services like the iPlayer.

Mr Gunter is leading the call for the BBC to help pay for the rising costs.

"The question is about whether we invest in extra capacity or go to the consumer and ask them to pay a BBC tax," he said.