FOOTBALL BROADCASTING RIGHTS
PRESS RELEASE
PRESS RELEASE
Football: the Competition Authority has commenced proceedings into RTI (Fininvest group), in relation to restrictions on competition for the acquisition of football broadcasting rights
At its meeting on 22 March 2005 the Competition Authority resolved to commence investigations into the Reti Televisive Italiane (RTI), Mediaset S.p.A. and Fininvest companies in relation to the alleged distortion of competition for the acquisition of broadcasting rights linked to the Serie A and B football championship matches.
In particular, the Authority focused its attention on the contracts concluded by RTI for the acquisition of broadcasting rights for Serie A and B championship home games of a number of football clubs for the football seasons 2004/2005, 2005/2006 and 2006/2007, and the signing up of first negotiation and pre-emption rights to the same matches for a period covering several seasons beginning with the football season 2007/2008.
An assessment of the impact of these contracts on competition gives rise to a number of concerns. An appraisal of the restrictions on competition brought about by exclusive rights is based not only on the duration but also on the scope of these rights, considering that the contracts refer to rights for pay-TV and conditional access broadcasts using all transmission modes and media.
Furthermore, these contracts were accompanied by a number of private agreements between the parties relating to pre-emption and first negotiation rights, which are also potentially able to influence the market competition mechanisms.
This commercial practice, in the view of the Authority, was likely to exclude present and future competitors from the market, also considering the fact that the exclusive television broadcasting rights under contract with the most important Italian football championship teams were extended to cover all transmission platforms, beginning with the year in which the satellite broadcasting contracts for matches signed by Sky Italia expire.
Having appraised these elements, the Authority ruled that an investigation was needed.
Rome, 24 March 2005