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Commerce Commission not satisfied with planned sale of Sky TV’s outside broadcasting unit

Commerce Commission not satisfied with planned sale of Sky TV’s outside broadcasting unit

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The Commerce Commission is not satisfied with Sky TV’s plans to sell its outside broadcast subsidiary to a large multinational company.

Sky TV generic

Sky TV’s plan to sell its outside broadcast service to NEP Broadcast Services must be approved by the Commerce Commission.
Photo: Supplied / Richard Parsonson

The commission was considering NEP Broadcast Services’ application to buy Sky’s outside broadcasting service, which currently covers sports, entertainment and other services, such as elections, on behalf of a range of customers, including TVNZ, Mediaworks and Māori Television.

The deal included a 10-year supply agreement between NEP and Sky.

The commission said the sale would likely result in a substantial lessening of competition, particularly for the coverage of mid-size events, such as Dancing with the Stars, elections and memorial services.

It was inviting submissions on the issues raised, including what affect the supply agreement would have on other service providers.

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