Pay TV phase three document - Stakeholders - Ofcom

Pay TV phase three document – non-confidential version
2.67 We set out some new evidence and analysis, on which we invite comment, including:
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� Changes in rights ownership since our last consultation, as well as some
outstanding issues relating to content rights.
� An analysis of Sky’s profitability.
� Retail market definitions for the supply of sports and movie channels, and an
associated market power assessment, building on material presented in our first
document.
2.68 We confirm our intention in principle to take forward a wholesale must-offer remedy,
subject to a detailed assessment of its proportionality, and consult on:
� The terms of the proposed wholesale must-offer remedy, including price.
� Our impact assessment.
� The specific licence conditions we would put in place.
� Finally, we set out how we propose to address some residual concerns in relation
to the way specific content rights are sold.
2.69 The remaining sections of this document are therefore set out as follows:
� Section 3: structure and characteristics of the UK pay TV market.
� Section 4: market definition of wholesale and retail markets for the sale of Core
Premium Sports and Movies channels.
� Section 5: assessment of market power in relevant markets.
� Section 6: analysis of competition issues.
� Section 7: analysis of consumers’ experience of pay TV, and the likely effect of
competition issues.
� Section 8: assessment of whether to take forward a wholesale must-offer
remedy.
� Section 9: the terms of a wholesale must-offer remedy.
� Section 10: an assessment of the proportionality of our proposed wholesale
must-offer.
� Section 11: consultation on amended licence conditions.
� Section 12: an assessment of the options for intervening in the way content rights
are bought and sold.
2.70 There are several annexes contained within this document, as follows:
� Annex 1: responding to this consultation.
� Annex 2: Ofcom’s consultation principles.