Sky playing fair on movies, rules Competition Commission
2nd Aug 2012 | 10:53
Thanks to Lovefilm and Netflix
The Competition Commission has ruled that Sky doesn't have an unfair stranglehold over films broadcast on pay-TV in the UK.
The ruling focused on the amount of choice available to the UK's cinephiles ruling that because there are now subscription service like Lovefilm and Netflix offering movie streaming, there's no problem.
The Commission has been looking into Sky's filmic activity for over a year as concerns that Sky's dominance in pay-TV movies was uncompetitive due to its vice-like grip on deals with six major film studios.
Other pay-TV providers complained that Sky's long-standing deals with movie studios meant that no one else could offer the latest blockbusters, giving it an unfair advantage.
But the Commission now believes that consumers are more bothered about having a wide range of film choices rather than the latest releases (which should be welcome news to Netflix).
Back in May 2012, it conceded that the problem is not such a big deal now that film streaming has taken off and today confirms that it won't be taking any action against Sky.
Laura Castensen, chairman of the inquiry, said, "It is clear that consumers now have a much greater choice than they had a couple of years ago when our investigation began.
"Lovefilm and Netflix are proving attractive to many consumers, which reinforces our view that consumers care about range and price as well as having access to the recent content of major studios."