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Mexico: Tribunal strikes down telecom ruling in blow to Televisa

 |  January 19, 2017

A Mexican tribunal struck down a ruling on Thursday that said broadcaster Grupo Televisa did not have market power in pay television, two people with knowledge of the matter said, opening the door to tougher rules against the company.

The move by the tribunal upheld a legal challenge to the 2015 ruling by the Federal Telecommunications Institute (IFT), and it means the telecoms regulator must make its decision again, said the two people, who declined to be named.

The IFT justified its decision at the time by saying competitors such as Dish, Megacable and Axtel were adding subscribers and taking market share from Televisa. The ruling was challenged by a rival cable provider, Total Play, part of Grupo Salinas.

Televisa is the country’s largest satellite and cable television provider, accounting for some 60 percent of all pay TV subscribers, according to the latest IFT figures.

If the IFT reassesses its decision and rules Televisa does have market power in pay television, it would mean the regulator could impose special antitrust measures on the company.

Full Content: Reuters

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