Tecsat, which currently has a small share of the DTH market, hasn?t taken any action relating to the examination of News Corp.?s takeover of Hughes Electronics by CADE, the competition tribunal. Nor does it plan to do so. News Corp. controls Sky and Hughes is the parent company of DirecTV.
In an interview published in the July issue of PAY-TV magazine Antônio Márcio Hisse de Castro, president of TecSat, says his company merely wants to be sure it will be able to continue competing if the merger of Sky and DirecTV goes ahead.
NeoTV, an association of independent pay-TV distributors, has filed to testify in the antitrust hearings. Tecsat isn?t a member of NeoTV, but as a market player it will almost certainly be called to testify.
Asked whether he thought it more appropriate for CADE to examine News Corp.?s proposed takeover of Hughes considering the pay-TV market as a whole or based on a distinction between the market segments for different technologies, Márcio Hisse de Castro declines to comment in detail but notes that technology has always made a difference in discussions of programming exclusivity and even the right to belong to content purchasing groups. In other words, Tecsat doesn?t have access to programming from certain sources because it?s a satellite distributor. So when the issue is market concentration, it wouldn?t make sense to consider uniform treatment for cable, MMDS and DTH, without taking the peculiarities of each segment into account, he argues.