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SOUTH KOREAN CHANNELS THREATEN TO SUE OVER SPORTS RIGHTS

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Two of South Korea’s main broadcasters are threatening to sue rival SBS, saying it breached a non-compete agreement by acquiring exclusive TV rights for the Olympic Games and the World Cup.

KBS and MBC say that together with SBS, they all signed a written non-compete agreement two months ago meaning that no one broadcaster would sign exclusive sports rights deals for major events.

SBS has just acquired exclusive rights for the World Cups of 2010 and 2014 in a deal reported to be worth about US$130 million. And it recently acquired and the Olympic Games of 2012 and 2014 in a deal worth US$72.5 million.

SBS says it has signed exclusive deals but denied breaching the non-compete agreement, saying that it plans to sub-license rights to its two rivals.