UK pay-TV companies Virgin Media, Setanta Sports, BT and Top Up Television entered a joint submission to Ofcom, the UK’s communications regulator, alleging that “a vicious circle” reinforces the dominance of BSkyB and means “competition in pay TV in the UK is not working effectively”.
They claim BSkyB is too strong to be defeated particularly in the acquisition of sports and film rights. They allege BSkyB has an advantage in that its subscriber base is such that it can monetise its investments in rights more quickly than others.
BSkyB said the complaint was “misconceived, exaggerated and cynically self-serving” in its own submission to Ofcom.
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