BSkyB suffers another defection

BSkyB has suffered another senior defection, in the same week that four cable operators put the final seal on a pay-per-view service to rival the satellite broadcaster's.

Bruce Dunlop, director of promotions and creative services, left the company earlier this week, it emerged last night. His departure coincided with the announcement from a consortium of cable companies that they have formed their own pay-per-view outfit, called Front Row.

The service, which is backed by Telewest Communications, NTL, Diamond Cable and General Cable, will offer "movies-on-demand" to cable customers with films from Warner Brothers and Columbia Tristar. It is being hailed by the cable industry as the first successful challenge to BSkyB's stranglehold on programming rights.

However, some critics said yesterday that Front Row, which plans to launch in February, had been enfeebled by the withdrawal of the largest UK cable company, Cable & Wireless Communications, from the consortium. C&WC will be taking BSkyB's pay-per-view operation, Sky Box Office.

Mr Dunlop said he had left BSkyB after "we both decided Elisabeth Murdoch [BSkyB's general manager of broadcasting] wanted to do things differently." He was responsible for building BSkyB's brand, and took charge of the company's successful sports promotions.

Mr Dunlop's exit follows the resignation of Sam Chisholm, formerly chief executive and managing director, and his deputy, David Chance. Mr Chisholm, who poached Mr Dunlop from Australia's Channel Nine, stepped down due to ill-health. However, his departure has sparked a series of senior management changes, which have knocked the share-price.