By Mark Baber
June 20 – Following a complaint from BT, Ofcom, the independent regulator and competition authority for the UK communications industries, is launching an investigation into BSkyB over the supply of its sports channels to rival broadcasters.
BT’s complaint to Ofcom comes as the telecoms giant is challenging Sky’s long-standing dominance of the sports pay-TV in the UK, having won a package of 38 Premier League games to be shown on BT channels – BT Sport 1, BT Sport 2 and ESPN. BT plans to show the games for free to its broadband customers, in a bid to defend its position in the broadband market from inroads by Sky.
BT’s specific complaint is that Sky is breaking competition law by abusing its dominant market position in the terms under which it is offering to provide Sky Sports 1 and Sky Sports 2 to BT for broadcast on its platform, including making it a condition of any deal that BT’s own sports channels on ‘YouView’ be made available on Sky.
BT said, “We are pleased Ofcom has decided to open an investigation as we believe Sky has behaved in an unreasonable and discriminatory manner.”
“This is because they have refused to provide Sky Sports 1 and 2 to BT on YouView on fair terms whilst providing them to other pay-TV retailers such as TalkTalk.”
In a statement, Sky said, “Sky considers BT’s latest complaint to be entirely without merit. We look forward to engaging constructively with Ofcom.”
With the Premier League kicking off on August 17, BT has asked Ofcom for urgent interim measures to be imposed.
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