Spain: the competition authority imposes fines of €15.5m on Telefónica and DTS for favouritism

The CNMC imposed a €10m fine on the Spanish telecommunications group Telefónica and a €5.5m fine on the pay-TV group DTS (Canal+ España) for an unlawful agreement, on 24/07/2015. The Spanish competition authority charged both groups for agreeing on the terms of the exclusive distribution for Canal+ Liga and Canal+ Liga de Campeones on the Movistar TV bouquet during the 2012-13 and 2014-15 seasons.

DTS launched a tender for the distribution of its channels, which clearly favoured Telefónica, which then held a 22% stake in the pay-TV group. DTS also provided provided information of the tender to Telefónica. "DTS favoured Telefónica compared to other pay-TV operators for the acquisition of its football broadcasting rights, which, in turn, indirectly strengthened the position of Telefónica in telecommunications," explained the CNMC.

• "These agreements are a violation of Article 1 of the Competition Act and Article 101 of the Treaty on the Functioning of the European Union (...) The sanctions represent less than 1% of total turnover the two companies in 2014," said the Spanish…