Wednesday, January 19, 2022

Disney-Fox merger: The CNDC ordered divestment and imposed conditions on the operation

The Comisión Nacional de Defensa de la Competencia (CNDC), (National Commission for the Defense of Competition), which belongs to the Internal Trade Secretariat of the Ministry of Productive Development, determined that The Walt Disney Company must open the business of broadcasting sporting events to new players, in order to "restore effective competition in the market for the commercialization of sports channels of the basic cable TV service".

Companies have one year to divest. Within that period they are obliged to make available "open and free relevant sporting events" of each competition defined as "fundamental content", a category that includes Copa Libertadores de América; UEFA tournaments, NFL, MLB and Formula 1 matches, among other competitions. In short, the free to air, private, public or third sector television channels that want to take those channels and transmit will be enabled, as it was found out.

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