BT Court Win Forces Sky Wholesale Pricing Review


LONDON: BT has won a court battle to have the competition tribunal re-examine its decision to stop Sky Sports 1 and 2 from being offered to rivals at a discount.

In summer 2012, the tribunal concluded that Ofcom's competition concern that Sky had deliberately withheld from other retailers the supply of its premium channels was unfounded. Lord Justice Aikens of the Court of Appeals said that the tribunal failed to properly investigate the issue, as it did now understand the level of discounts that BSkyB claimed it gave rivals on the rate-card price for its sports channels.

Ofcom said in a statement that it "welcomes the Court of Appeal’s decision that the judgment of the Competition Appeal Tribunal failed properly to consider Ofcom’s findings that there was ineffective competition in the market.

"Ensuring fair and effective competition in the pay TV market has always been Ofcom’s objective. Ofcom’s 2010 decision that Sky must offer premium sports channels to other providers was designed to deliver choice and innovation to consumers through greater competition."