There is a report in The Guardian.
"Obviously from a commercial point of view it's completely bonkers," Ms Friedman said. "I have been working in the West End for five years, and there are very few new plays in the West End that haven't already been supported by the subsidised theatre sector or have come from the US. It's primarily because the risks are just too high. With The Play's The Thing, I have been set a challenge and I want to know whether we can fulfil it."Update 1: There's now a page on the Channel 4 website. The contest is strictly for non-professionals (i.e. people who have never been paid for dramatic writing for radio, television, film or stage). The closing date is 1 July 2005.
Update 2: Edel Brosnan has pointed out in a comment to this post (see below) that by entering the competition, writers surrender all their copyright in the submitted piece.