Qantas sticks with Sky for in-flight

Sky News has fended off competition from the ABC for Qantas in-flight news bulletins.

Sky News has fended off competition from the ABC for Qantas in-flight news bulletins after the public broadcaster was accused of being too aggressive in pursuing commercial deals.

Presenters such as David Speers and Kieran Gilbert will continue to appear on video screens during Qantas flights after Sky’s contract was extended for a further two years.

A pitch for Qantas’s in-flight entertainment contract by ASX-listed outdoor advertising firm oOh! initially included a proposal to use ABC News content. ABC Commercial entered the fray as a third-party supplier to oOh!.

The ABC faced a furious backlash over the move with The Australian reporting last year that corporate chiefs including Fairfax’s Greg Hywood called on the government to rein in the ABC.

Mr Hywood questioned whether it was appropriate for the ABC to compete with commercial operators that did not enjoy its public funding.

Communications and Arts Minister Mitch Fifield signalled that the ABC and SBS would face fresh scrutiny.

As part of the move to retain Sky, Qantas has appointed oOh!Media as its in-flight entertainment advertising sales partner with the award of a three-year multimillion-dollar deal.

The firm already manages advertising in Qantas terminals and lounges, building on a 14-year relationship. It includes international and domestic network.

The outdoor advertising firm replaces Multi Channel Network, a joint venture between Foxtel, Fox Sports and Ten Network. MCN held the contract for three years.

For Qantas, the in-flight contract is an important ad revenue driver that has enabled the flag carrier to invest in a greatly expanded menu of options for travelers as well as new technology and apps.

There will be no changes to ad sales arrangements for the monthly in-flight Qantas Spirit of Australia magazine, which will continue to be handled by Medium Rare, a content marketing agency led by Gerry Reynolds.