Pay-TV MultiChoice is planning on taking the Independent Communications Authority of SA (Icasa) to court as the industry regulator forges ahead with its plans to open up the market.
According to IOL ICASA published its draft findings following an inquiry into subscription TV broadcasting services. As a consequence ICASA has now come up with a plan to boost competition while at the same time lower subscription prices in the pay-TV market. These reportedly include..
ICASA has given interested parties 45 days from the date of publication of the draft findings to table written submissions.
However, as stated by IOL, MultiChoice has argued in court papers that the regulator did not follow due process and some of its proposed measures threatened its viability as a commercial entity.
MultiChoice wants the court to compel ICASA to halt the inquiry process, pending the submission of all relevant documents the regulator relied on to make its draft findings and conclusions. They went on to say that Icasa’s failure to provide the documentation is unconstitutional as it violates the Promotion of Administrative Justice Act and does not comply with the standard of rationality encompassed in the constitutional principle of legality.
Currently, as far as sport is concerned MultiChoice, which owns DStv, dominates the market in part because it has exclusive contracts for premium and international sporting content, such as the local Premier Soccer League (PSL), the English Premier League, the Spanish La Liga and the Uefa Champions League.
ICASA sees this as an unfair competitive advantage.
The continent’s biggest pay-TV operator is worth about R55bn, and provides its service to nearly 14-million people across 50 countries in Africa.
SOURCE : IOL