British satellite broadcaster BSkyB won a long-standing dispute over the price it can charge rivals for its sports content after Britain’s Competition Appeal Tribunal (CAT) ruled in the company’s favour yesterday.
The dispute dates back to 2010 when media regulator Ofcom ordered BSkyB to reduce the amount it charged competitors, such as Virgin Media and BT, for its two most important SkySports channels in a move designed to increase market competition.
The price of a single channel was reduced by 23 per cent to £10.63 a month, and for both channels by 10.5 per cent to £17.14.
Ofcom said it would immediately consider what further steps it could take.
After BSkyB had appealed against the ruling, the difference between both sets of prices were paid into an escrow account by BT, Virgin Media and Top-UP TV, with the proceeds to be distributed after the case was resolved.
Last week, Britain’s Competition Commission said that BSkyB’s strong position in movies did not adversely affect Britain’s pay-TV market, a decision that was met by dismay by BT and Virgin Media. – (Reuters)
