Televisa: Univision Agreement Doesn't Cover VOD Rights

MEXICO CITY, May 22: U.S.
Hispanic broadcaster Univision is set to launch its new VOD service in January,
but it won’t be able to add any Televisa content to the offering, according to
the Mexican media group.

Televisa has a program
licensing agreement with Univision that runs till 2017. Its novelas are huge
drivers for Univision’s prime-time schedule, which remains a market-leader in
the Hispanic market and has begun to trump the broadcast networks in the
18-to-34 segment in certain cities across the U.S.

Univision made no mention
of Televisa content in its VOD announcement. However, Televisa said yesterday
that it had received several enquiries, prompting it to confirm that the
“program license agreement with Univision does not confer upon Univision any
video on-demand rights with respect to Televisa's content including its
prime-time telenovelas, series, shows or any other Televisa programming nor to
Mexican Soccer League matches licensed by Televisa to Univision.”

Meanwhile, Televisa and
Univision remain in litigation, with proceedings due to resume in June. Three
years ago, Televisa filed suit against Univision citing breach of contract and
unpaid royalties. It is seeking to get out of its licensing contract with the
broadcaster. In a sign of the frayed relations between the two, Televisa
announced in March a deal with Univision’s rival, Telemundo. The agreement sees
Televisa distributing content from Telemundo across multiple platforms in
Mexico, including broadcast TV, pay TV and emerging digital platforms.

—By Mansha Daswani