The Broadcasting Commission of Ireland has awarded the contract to provide digital terrestrial television services in Ireland to the One Vision group.

One Vision includes TV3, Setanta and Eircom.

The BCI said the award was subject to negotiations, which will take place over the coming weeks.

Last month the original winner, Boxer, which included Denis O'Brien's Communicorp, said it had withdrawn its applications for the three multiplex contracts.

Following the withdrawal, the BCI said it would ask One Vision, which came second in the competition last year, if it was interested.

DTT is set to replace the current analogue television signal, which is due to be switched off at the end of 2012.

Households without satellite or cable television services will have to upgrade to DTT.