Optus, Vodafone & Fetch TV Hit Out At ACCC’s Approval Of Foxtel-Fox Sports Merger

Optus, Vodafone & Fetch TV Hit Out At ACCC’s Approval Of Foxtel-Fox Sports Merger
SHARE
THIS



The competition watchdog’s recent decision to News Corp and Telstra’s proposed merger of Foxtel and Fox Sports the thumbs up has drawn the ire of three rival companies.

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 Australian Competition & Consumer Commission (ACCC) gave the merger the green light last week after finding the commercial incentives of Foxtel, Fox Sports, News, and Telstra will not be substantially altered.

“Therefore, the change in ownership structure is unlikely to substantially lessen competition,” ACCC chairman Rod Sims said.

However, rival companies Fetch (which has partnerships with Optus, iiNet, Dodo and iPrimus) Vodafone (which has a partnership with streaming service Stan) and Optus made the ACCC well aware of their issues with the deal, and were perplexed by the competition watchdog’s decision-making process, according to The Australian Financial Review.

Fetch CEO Scott Lorson said a statement of issues and further public inquiry into the Foxtel-Fox Sports merger was warranted, given the coalition it would form between News Corp and Telstra.

“We see [last week’s] decision as a missed opportunity by the ACCC to utilise the Section 50 review process to easily address industry concerns,” Lorson said.

“Focus will now shift exclusively to Section 46 as the last line of defence in the event of anti-competitive behaviour.”

Section 46 is concerned with the misuse of market power.

An Optus spokesperson told the AFR that the telco questioned whether it was a missed opportunity for the ACCC to review broader competition implications from the merger, given its long-standing concerns about the Telstra-Foxtel relationship.

Vodafone Hutchison Australia chief strategy officer Dan Lloyd said the company was surprised by the ACCC’s reasoning for its decision on the merger, as it assumes Foxtel content would always be exclusive to Telstra.

“This is a substantial extension of the exclusive tie-ups between Australia’s dominant premium content, premium sports rights and telco players and can only reduce choice for Australian consumers,” Lloyd told the AFR.

“Once again, dominant players are allowed to stitch up side deals which tilt the playing field overwhelmingly in their favour.”

Please login with linkedin to comment

ACCC Australian Competition & Consumer Commission Fetch TV Fox Sports Foxtel Optus Vodafone

Latest News

WPP Acquires Perth-Based Digital Creative Agency Meerkats
  • Advertising
  • Technology

WPP Acquires Perth-Based Digital Creative Agency Meerkats

WPP AUNZ has acquired leading WA digital and creative business solutions company Meerkats, as part of the company’s strategy to boost client capabilities announced earlier this year. As part of the agreement Meerkats will merge with Wunderman Thompson in WA, building the brand’s Perth capability to more than 50 employees and creating a specific Experience […]

303 MullenLowe Sydney Confirms Bart Pawlak As New ECD
  • Advertising

303 MullenLowe Sydney Confirms Bart Pawlak As New ECD

303 MullenLowe Sydney has appointed accomplished creative leader Bart Pawlak, as its new ECD. Pawlak has been working with the agency over the last four months, leading the department over this period. Pawlak is an awarded creative director and writer with two decades of experience working within the major advertising networks, most recently as executive […]

Oakley Reprises Bob Marley’s ‘One Love’ In Powerful Ode To Sport
  • Campaigns

Oakley Reprises Bob Marley’s ‘One Love’ In Powerful Ode To Sport

Oakley has unveiled a powerful remake of Bob Marley’s iconic anthem One Love as part of the brand’s 2020 For the Love of Sport Campaign. The official release aims to inspire hope and positivity during a time of uncertainty by celebrating sport and how it can enlighten and uplift. The reworked verses were co-written by […]

“We’ve Seen Lots Of Doggers!” Weather Reporter Hilariously Muddles Dogs & Joggers
  • Media

“We’ve Seen Lots Of Doggers!” Weather Reporter Hilariously Muddles Dogs & Joggers

The perils of live TV were once again on show on the venerable BBC yesterday when a weather reporter managed to mangle joggers with dog walkers and came up with doggers. BBC weather reporter Carol Kirkwood was reporting live from the beautiful Greenwich Park in London yesterday when she managed the red-faced clanger. “Good morning […]

by B&T Magazine

B&T Magazine
Women in Media: A Look Back At The Best Ads Championing Equality
  • Campaigns
  • Media

Women in Media: A Look Back At The Best Ads Championing Equality

The Women in Media Awards has always been about recognising the power of individuals. But B&T also shines a light on the best use of creativity and advertising to champion the promotion of women. It’s a relatively new category, ‘Best Ad Campaign – Championing the Equality Cause’, but its perhaps one of the most important […]

by B&T Magazine

B&T Magazine
Torrens University Australia Launches ‘Career Crush’ Via VCCP Sydney & Lash
  • Campaigns

Torrens University Australia Launches ‘Career Crush’ Via VCCP Sydney & Lash

Torrens University Australia has launched ‘Career Crush’ via VCCP Sydney and Lash, to help match students with a career they’ll love. Career Crush is an online quiz that determines prospective students’ personal strengths, passions and aspirations to match them with the careers and courses they’re most compatible with. One of the toughest decisions young people […]

Pedestrian Partners With With NZ’s Mi9 To Expand Commercial Offering
  • Media

Pedestrian Partners With With NZ’s Mi9 To Expand Commercial Offering

Pedestrian Group has partnered with Nine subsidiary Mi9 New Zealand to offer NZ brands the opportunity to partner with the likes of Business Insider Australia, Pedestrian.tv and Gizmodo Australia. Next month, Mi9 New Zealand will be representing Pedestrian Group in the NZ market, offering clients the opportunity to work with leading youth publications including Lifehacker […]