Advanced Television

Mexican broadcasters object to Slim TV

February 21, 2014

Mexico’s leading TV broadcasters have voiced their objections towards billionaire Carlos Slim , suggesting that agreements his company’s fixed-line unit has with satellite TV provider Dish Mexico violates the terms of its concession.

Telmex, the fixed-line unit of Slim’s company America Movil, has a “de facto partnership” with Dish Mexico under its billing and marketing agreement with Dish owner MVS Comunicaciones

“Aside from absorbing the lion’s share of the operation and resulting investment, Telmex is offering its broadband customers ‘triple play’ by unduly packaging phone, Internet and television service,” Televisa, the country’s biggest broadcaster, said in a statement.

Telmex is a former government monopoly that was privatised in 1990. It is barred from offering TV service, although it has long been seeking approval to enter the market.

The exchanges between the two sides come as Mexico’s newly created telco regulator prepares to designate certain companies “dominant.” Such companies would face regulatory measures to ensure fair competition.

The Federal Telecommunications Institute (IFT) is expected to declare Televisa and America Movil dominant in their respective markets, given their market shares of above 50 per cent.

Televisa, and Mexico’s No. 2 broadcaster TV Azteca, have objected to Dish’s use of their channels. Dish started to include these in its service following constitutional changes last year requiring broadcasters provide signals to pay-TV systems. Together, Televisa and TV Azteca control most of Mexico’s broadcast market.

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