The National Markets and Competition Commission (CNMC) has initiated a sanctioning file against Telefónica for a possible breach of the commitments it acquired when it bought DTS, former Sogecable, in 2015.
The body chaired by Cani Fernández has highlighted that this resolution is part of the surveillance work that the CNMC carries out to verify that Telefónica complies with the commitments for the approval of the takeover of exclusive control of DTS. The purpose of these obligations on the part of the Spanish company is to ensure competition in the markets.
DTS purchase in 2015
On April 22, 2015, the CNMC authorized the concentration operation, conditional on Telefónica fulfilled a series of commitments, which were extended for an additional period of three years by the resolution of July 9, 2020.
Among them, Telefónica undertook that the contracts for the exclusive acquisition of broadcasting rights in Spain for third-party sports audiovisual content signed by the entity could not allow the exploitation of the acquired content beyond the maximum period of three years counting from the signing of the contract.
Telephone-LNFP Contract
In February 2024, the CNMC declared the existence of indications of non-compliance with this commitment in the contract between Telefónica and the National Professional Football League (LNFP) dated January 19, 2022.
Specifically, Telefónica signed a contract with the LNFP by which it transfers exclusiveness broadcasting rights, audiovisual exploitation and marketing of certain matches and content of the First Division National League Championship, intended for its subscribers or clients for private or residential use.
This contract includes the rights corresponding to lots D.1.Bis and D.3.Bis of the tender organized by LNFP in November 2021. Specifically, the main exclusive rights acquired included, in the first lot, five live matches of each matchday (except three matchdays) of the Championship, and, in the second batch, the ten matches corresponding to three live matchdays, for the 2022/23 and subsequent seasons.
However, the CNMC has stressed that the initiation of this file does not prejudge the final result of the investigation, while it is now being opened a maximum period of three months for the investigation of the file and for its resolution by Competition.
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