BBC iPlayer launch on Xbox LIVE delayed for foreseeable future

The Xbox LIVE Marketplace could prove to be the one stop digital media hub for 360 buffs, so long as they come ready with a Gold level subscription. Microsoft was hoping the BBC would have the same mindset when the broadcaster confirmed its intention to port their iPlayer platform for streaming radio and TV programming over the Intertubes onto Xbox LIVE.

Unfortunately, it appears the BBC wasn't in the position to make its iPlayer a premium level service, and now the two giants have reached a disagreement. The result is that the official iPlayer launch on Xbox LIVE has been delayed until further notice.

According to sources in the BBC's Future Media and Technology department, Microsoft "wants to ensure that only those paying for Xbox Live Gold accounts can access its additional content services and even then there is usually a charge on top to get access to those." The source cites the recently launched Sky Player on the 360 as an example, requiring a subscription to both Xbox LIVE Gold as well as Sky itself.

This does not fit with the BBC’s model and Microsoft will not budge at the moment. It is really frustrating for those involved on the BBC side who want to make sure iPlayer is rolled out on as many popular entertainment platforms as possible.

The BBC already includes general access to the iPlayer as part of its licencing fees, so it's making a point not to incur further charges on users. This especially holds true on consoles, given that the iPlayer can already be accessed on the PS3 and Wii at no extra monthly charge.