NBCU pulls Russian channels

NBCUniversal (NBCU) is pulling its pay TV channels out of Russia amid tightening regulations on foreign ownership and advertising in the country.

NBCU-owned Universal Networks operates Universal Channel and E! Entertainment Television on pay TV in Russia. The international channels arm of the US studio said in a statement this afternoon that it would “no longer operate in the market and is looking at alternative opportunities for its channels business.”

Universal Pictures International and NBCUniversal International Television Distribution will continue operations in Russia, licensing films and TV shows to Russian channels, the company has confirmed.
 
Russia has become an increasingly hostile market for international channel operators during the last 12 months. Laws banning advertising on pay TV channels were approved in July then in October another law was signed off preventing international companies owning more than 20% in the country’s mass-media businesses.

Universal Networks blamed a “challenging economic environment for our pay TV channels in Russia” for its decision.

BBC Worldwide had planned to launch its fledgling BBC Brit channel in the territory but confirmed in September it was dropping the plans.

Universal Networks is the next to make a withdrawal but many other firms operate in the territory and could be considering their position. Viasat Broadcasting, Viacom, Disney, Fox International Channels, Turner Broadcasting, Sony Pictures TV, A+E Networks and Discovery Networks International all operate pay TV channels in Russia.