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Comcom offers Skodafone another bite at merger cherry

The Commerce Commission has advised Sky and Vodafone it’s not satisfied their proposed merger won’t reduce competition in NZ’s telecom and pay TV markets.

The Commission’s concerns mirror that expressed by other players, many centring around Sky’s dominant position as a content rights holder, especially for live sports, and the disincentive for Sky to make its content available to telecom providers other than Vodafone.

The Commission’s eight-page latter, laying out its concerns and the rpodcess for moving forward, is here.

The request for further information, and the opportunity for other parties also to submit further information and to respond to each other’s submissions, mean that the decision, perviously slated for 11 November, will now not happen until 2017.

The merger agreement accepted by the shareholders of Sky and Vodafone lapses if not confirmed by 28 February.

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