A PYMNTS Company

Australia: ACCC approves Ten and Foxtel tie-up

 |  October 22, 2015

The competition watchdog has given the green light for Foxtel to purchase up to 15 per cent of Network Ten Holdings, stating the metropolitan broadcaster and pay television provider will continue to face competition from the free-to-air networks and streaming services.

Australian Competition and Consumer Commission chairman Rod Sims also used the ruling to highlight that “existing regulations may no longer be effective” in the media industry as advances in technology make some rules redundant.

“For example, the ‘reach rule’ continues to limit a person from controlling television broadcasting licences that reach over 75 per cent of the population even while commercial free-to-air television networks are now able to stream their services nationally,” Mr Sims said.

On the deal, Mr Sims said it will lead to a greater alignment of Foxtel’s and Ten’s interest and the pay TV provider will have more influence over the metropolitan broadcaster, but the proposed transactions would not result in “a substantial lessening of competition”.

Full content: The Sydney Morning Herald

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.