A Sky executive has down-played the impact YouView will have on the market, claiming that it will remain a niche product for a long time.
Sky's director of broadband and telephony, Delia Bushel, told TechRadar that the impact of a BBC-led YouView was being "overstated".
She added that the premium pricing of the service will make it a niche product, unlike the FreeView service.
“A Freeview set top box costs £25, whereas a YouView box will cost around £299 which makes it a premium proposition and not an off-the-shelf solution,” she said.
As broadband and cable providers struggle to cope with the IPTV payload on their network, Sky believes that its DSL network will be able to withstand the pressure.
Previously known as Project Canvas, the YouView IPTV service is being developed by the BBC in partnership with BT, Arqiva, TalkTalk and other terrestrial broadcasters like ITV, Channel 4 and Five.