(AWP) The Federal Administrative Court has imposed a fine on Swisscom from the Federal Competition Commission (Comco). (SCMN 557.20 -0.85%) confirmed in dispute over sports rights. In 2016, ComCo imposed a fine of CHF 71.8 million. Swisscom is examining whether to move on.
In 2016, ComCo fined Swisscom and Cinetrade (today Blue Entertainment) for abusing its dominant position in the live broadcast of Swiss football and ice hockey games on pay TV. Swisscom refused some of its competitors any offer to broadcast live sports on their platform, and only granted others a reduced range of sports. The judgment covers the period from 2002 to 2012.
Swisscom and Blue Entertainment are still convinced that they have behaved lawfully when marketing sports content, Swisscom announced on Wednesday. The high investments made by Swisscom and Cinetrade between 2002 and 2012 would have justified a minimally expanded range of sports for distribution via the Swisscom TV platform. This was the only way the investments could have been adequately protected at the time.
According to the message, the problem no longer exists. All TV customers currently receive all sports content from Swisscom/Blue and Sunrise UPC. Smaller providers on the TV market would also benefit from this and could obtain the sports content from the two providers.
Swisscom is currently analyzing the verdict and is considering moving on to the Federal Supreme Court. According to the information, the fine will burden the operating profit (Ebitda) in the second quarter. However, the targets for the full year remained unchanged, the release said.
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