<div><b>By Julian Clover
March 2, 2010

The Italian government has approved legislation that will reduce the amount of advertising that can be carried by pay-TV channels including those operated by Sky Italia.

Under the new rules the maximum amount of advertising per hour will be progressively reduced to 12% in 2012 from the present 18%. At the same time channels that are broadcast free-to-air will be able to increase their advertising time to a maximum of 20% per hour from the current 18%. The new regulations technically effect some of the international broadcasters on the Sky platform; though many such as CNN and Bloomberg are transmitted out of countries where the local regulations already restrict advertising at or below the 12% level.

The rules clearly benefit the free-to-air channel business of Mediaset, the commercial broadcaster controlled by the family of prime minister Silvio Berlusconi, against that of News Corp