The shape of the merger between UPC and SBS Broadcasting began to take firmer shape at MIPtv last week with plans for two joint channels an as yet unnamed film channel deliberately targeted for 18-34 year-olds, initially for the Dutch market, plus a Gold channel that exploits SBS existing archive.

UPC chairman and CEO Mark Schneider said UPC was also considering a name change for the raft of channels soon to be incorporated from SBS.

“As to renaming the SBS stations, we are considering the options, which include having a universal name, something slick like Liberty, so we are keen on new names,” he said. “Something like Chello, which people can identify with, is the way we should go. It makes it more efficient to market, and you can get real economies of scale with a name like Chello.”

On April 4 the company announced the first of a clutch of new channels, Innergy, a mind, body and spirit channel, based on an idea by Dave Stewart (of the Eurythmics), launching in May. These will join the roster of UPC-created and conventional cable channels which combined with a quarter million telephony subscribers make a market of 6.9 million subscribers spread across 10 countries. This June UPC completes building its Amsterdam digital media centre, which in turn will allow UPC to play out and uplink 64 digital channels, with up to 16 separate language feeds for each channel, and the start of its European Headend-in-the-Sky ‘EuroHITS’ satellite project. A shopping channel, plus one other, will be announced soon, and UPCtv’s managing director Simon Oakes said other specific thematic channels are in the planning pool, covering general entertainment, games (for TV games shows, developed with Sony), parliamentary services and youth. Moreover, the planning grid for the launch of these channels extends from Scandinavia through central and eastern Europe, as well as all the major European markets, including the UK.

“It made sense for us to make an alliance with a major delivery and Internet company,” said Harry Evans Sloan, formerly head of SBS Broadcasting, now about to become part of the UPC programming-to-telephony-to-Internet cable company, speaking at MIPtv. “It makes a perfect strategic overlap in terms of countries and content,” he said.

The stock market hasn’t exactly looked upon the UPC/SBS deal with total approval, but in Sloan’s view the CLT/Bertlelsmann/Pearson deal announced ten days ago showed that UPC was spot on with its plans. He said that currently there had been only two “mega programme buyers” in Europe: Kirch Group and now CLT-UFA/Pearson. “UPC with SBS is the third, in terms of what we will be spending and financing,” he said.

Oakes said that in a few months UPC will commence building digitally-equipped studios probably in London “ready to start creating our own content. We believe very strongly we have to drive forward in this area.” Oakes said UPC now has the leverage to acquire content across 18 territories, building new relationships with Hollywood, “and this is at the core of our linking these two business [UPC and SBS].” However, he said that UPCtv would not compete in some areas, “music and kids being the obvious thematics.”

Oakes said: “With the exception of Canal Plus there is no European-focused multi-channel company, multi-territory supplier who can build a channel business based on a large subscription base.”