EC Considering Legal Action Over Premiership TV Rights

European Commission Kicking Around Legal Action Against Premier League

European Commission (EC) officials “are angry that the Premier League is refusing to make radical changes to the way it sells broadcast rights” and are “preparing to send a list of formal objections to the Premier League’s position, a move that is the first step towards legal action against” the league, according to Rachel Stevenson of the London INDEPENDENT. EC officials want an end to BSkyB’s exclusivity on broadcasting rights, and they believe that the league “is not going far enough in terms of opening up the market to competition.” While the league has agreed to make available a small slice of live [soccer] rights for a second broadcaster” beginning in ’07, the EC “wants at least half of the 138 televised fixtures to be in the hands of competing channels.” BSkyB has held exclusive rights for 13 years (London INDEPENDENT, 9/12). In Manchester, Milmo & Martinson reported the Premier League opposes capping individual broadcasters at 50% of the games, “as it believes that football clubs make more money from enjoying an ‘exclusivity premium.’” The EC intends to enforce an ’03 agreement in which the league agreed after ’06 to “ensure that there are at least two television broadcasters of live Premier League matches,” create “balanced packages of matches” and not allow one broadcaster to buy all of the packages (Manchester GUARDIAN, 9/12).

BYE SKY: In London, Mark Kleinman reports BSkyB head of regulatory affairs Michael Rhodes has resigned to launch a consultancy “that is expected to work for a number of BSkyB’s rivals on bids for Premiership rights.” Interested companies “are likely to include” NTL; Telewest; Setanta, which recently hired former Sky Sports exec Trevor East; ITV; Five; and private-equity firm Apax Partners (LONDON TIMES, 9/11).

WORKING TOGETHER ON CHAMPIONS LEAGUE: In Manchester, Jason Deans reports ITV and BSkyB “have finally concluded a new three-year deal to continue sharing” U.K. TV rights to the UEFA Champions League. ITV and Sky Sports “for the first time” will provide live Internet streaming of the matches (Manchester GUARDIAN, 9/13).