The Australian Competition and Consumer Commission (ACCC) is seeking views on the proposed subscription video on demand (SVoD) joint venture between pay-TV platform Foxtel and Seven Network. The pair propose to enter into a joint venture collectively to produce and supply a stand-alone service, marketed as ‘Presto Entertainment’.
The ACCC’s investigation is focused on the impact on competition. In particular, it is seeking views on:
· the level of competition between SVoD services and other video delivery services (including subscription television and online ‘catch-up’ services);
· the ability of the proposed joint venture to secure exclusive access to compelling content and
the likely impact of the proposed joint venture on competition from other SVoD providers, taking into account the developing nature of this industry.
Responses are to be provided by no later than January 26th 2015.
The service is proposed to launch in early 2015. Initially only Foxtel will be involved, with Seven’s involvement in the joint venture being conditional on ACCC approval.