The CNMC resolves at Telefnica should offset some of its competitors for renting their soccer pay TV channels

THE CNMC resolves that Telef nica should offset some of its competitors for renting their soccer pay TV channels Vodafone, Telecable and Total Channel, which hired with Telefonica wholesale distribution of Canal Liga and Canal Partidazo season 2015 / 2016, should be compensated, according to the CNMC, by amounts that paid more in guaranteed minimum cost concept.

The CNMC (National Commission of markets and competition) has resolved that Telef nica should offset some of its competitors, in particular, to Vodafone, Telecable and Total Channel by mismatches in the amounts that have been paid in respect of minimum cost guaranteed by the wholesale distribution channel Canal Liga and Canal great game in the 2015 season football / 2016.

The CNMC has issued this resolution as part of surveillance carried out to check if phone is fulfilling the commitments that has tax following its acquisition of DTS pay TV platform in the year 2015 (C/0612/14 Telef nica/DTS)

Also as a result of this analysis, the CNMC has resolved that Telef nica can be claimed to Orange and Open Cable, to have charged less for the guaranteed minimum cost of Canal Liga and Canal Partidazo season 2015 / 2016, according to the criteria of the commitments of Telef nica/DTS concentration.

Commitments of Telef nica/DTS concentration

On April 22, 2015, the CNMC authorized the operation of Telef nica and DTS concentration, but conditioned that Telef nica fulfill certain commitments relating to the market in pay-TV, the wholesalers of content and channels marketing, and access to its network of Internet.

In the case of payment channels, Telef nica must have a wholesale offer so that competitors can access to their channels of pay-per-view TV with "Premium" content (movies, national and international sports competitions...), and market them through its own pay-television platforms.

To calculate the price of this offer (wholesale), Telef nica takes into account several elements. One of them is called guaranteed minimum cost, a fixed cost that must pay all operators and which covers the risk assumed by Telef nica to buy broadcasting rights exclusive in Spains soccer, Formula 1 or Moto GP, in addition to other costs of production of sporting events.

Once analyzed the different data submitted by Telef nica and the rest of the operators, the CNMC has determined that Telef nica should be certain adjustments on his performance to determine the guaranteed minimum cost assigned to each operator that acquired its wholesalers offering football channels in the 2015 season / 2016.

Consequently, according to the resolution of the CNMC, Telef nica must compensate immediately operators which had taken over by this concept. In addition, the CNMC recognizes the right having Telef nica to claim payment of the additional quantities to operators who had charged less for the guaranteed minimum cost.

Todo ello, sin perjuicio de que Telef nica y Total Channel lleguen a un acuerdo bilateral espec fico entre ambos, ya que ese operador no ha explotado efectivamente los canales de f tbol de la oferta mayorista de Telef nica, siempre que este acuerdo no suponga un perjuicio, directo o indirecto, para el resto de operadores.

Frente a esta resoluci n no cabe recurso alguno en v a administrativa, pudi ndose interponer recurso contencioso-administrativo en la Audiencia Nacional, en el plazo de dos meses.

LINK:	http://www.panoramaaudiovisual.com/en/2017/05/11/la-cnmc-resuelve-que-...
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