Foxtel-Fox Sports Merger Gets Green Light From ACCC

Foxtel-Fox Sports Merger Gets Green Light From ACCC
SHARE
THIS



The Australian Competition and Consumer Commission (ACCC) has decided to not oppose the proposed merger of Foxtel and Fox Sports after finding the transaction would not substantially lessen competition. 

Currently, News Corp owns 100 per cent of Fox Sports and owns Foxtel jointly with Telstra. 

Under the merger, Foxtel and Fox Sports will be brought together under common ownership, with News holding 65 per cent of the merged entity. Telstra will hold the remaining 35 per cent interest. The merged entity will also enter a number of agreements with Telstra. 

“The ACCC won’t oppose this merger after finding that the commercial incentives of Foxtel, Fox Sports, News, and Telstra will not be substantially altered,” ACCC chairman Rod Sims said. 

“Therefore, the change in ownership structure is unlikely to substantially lessen competition. 

“Foxtel and Fox Sports have a close and long-standing relationship, operating within the ownership of News and Telstra. 

“Given News’ current interests in both Foxtel and Fox Sports, it would be unlikely that Fox Sports would be made available to competitors of Foxtel in the absence of the merger.” 

Sims said the ACCC considered how the merger would affect a number of different markets and took into account feedback from a range of market participants in reaching its decision. 

“We focused on the acquisition of sporting content and concluded that the proposed merger was unlikely to substantially lessen competition in this market,” he said. 

The competition watchdog also considered the effect of the merger and related agreements on the supply of triple play bundles of voice, broadband, and audio visual content by broadband and mobile providers. 

As part of the merger transaction, Telstra is being appointed the exclusive telecommunications agent for Foxtel’s digital products. 

“An important consideration was that consumers will still be able to access Foxtel’s digital products even if they acquire broadband or mobile services from Telstra’s competitors,” Sims said. 

“Also, generally, where triple play bundles are offered consumers still have to pay to acquire premium packages, and there are alternative sources of content for other telecommunications suppliers wanting to offer triple play bundles.” 

Telstra and News Corp will look to finalise the transaction in the first half of 2018.

Latest News

Clemenger BBDO’s ‘Exceptions To The Rule’ Recruitment Program Now Open
  • Advertising

Clemenger BBDO’s ‘Exceptions To The Rule’ Recruitment Program Now Open

The annual search for Australia’s best and brightest talent has launched today through Clemenger BBDO’s ‘Exceptions to the Rule’ program, with applications open for placements across Clemenger BBDO Melbourne and Sydney. ‘Exceptions to the Rule’ is a commitment to the agency’s belief that the future leaders of the creative industry aren’t solely coming through traditional […]

The Six Types Of Meetings People Despise
  • Media

The Six Types Of Meetings People Despise

Donna McGeorge (pictured below) is a speaker, author and mentor who helps people make their work work. She is also author of The 25-Minute Meeting: Half the Time, Double the Impact. In this guest post, McGeorge says most of us despise the office meeting and here’s the six worst types… I once heard a very senior leader […]

Opinion

by B&T Magazine

B&T Magazine
Mango Melbourne Announces Three New PR & Event Hires
  • Marketing

Mango Melbourne Announces Three New PR & Event Hires

Mango Melbourne, part of the DDB Group, has welcomed three new team members following recent business growth. Carol Laws (right in photo), Janette Henstridge (left) and Maddie Poulson (middle) bring with them experience across PR and events, in sectors including consumer, retail, telecommunications and fashion. An account director with previous roles at Kate & Co […]

Why Curiosity Matters In Leadership
  • Opinion

Why Curiosity Matters In Leadership

Corrine Armour (pictured below) is a leadership expert who helps leaders and organisations develop fearless leadership and deliver transformational results. Armour is also the author of Leaders Who Ask: Building Fearless Cultures by telling less and asking more. In this guest post, she asks are you a genuinely curious leader or just a judgemental one? Curiosity creates […]

Opinion

by B&T Magazine

B&T Magazine
Businesswoman hand connecting jigsaw puzzle, Business solutions, success and strategy concept
  • Media

Tealium Partners With The Lumery

Tealium, the leader in real-time customer data orchestration solutions, and The Lumery, a full-service customer experience agency, have partnered to bring to life the vision of a full MarTech ecosystem for Vocus Communications. Vocus recognised a huge opportunity for growth through the digitisation of their consumer brands. As such, Vocus has begun the process of […]

McCann Names New MD For Melbourne
  • Advertising

McCann Names New MD For Melbourne

McCann's new Melbourne MD is promising sweeping changes. Well, at the very least delicate carpet shampoo changes.