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BT and BSkyB battle rages as court re-examines whether Sky Sports 1 and 2 should be offered to rival at discount

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By Jennifer Faull, Deputy Editor

February 17, 2014 | 2 min read

BT has won a court of appeals battle to re-examine the level of discounts BSkyB offers to rivals.

In 2010, Ofcom found that BskyB was abusing its place in the sports market and should drop its wholesale price by 23 per cent. However, the Competition Appeal Tribunal (CAT) rejected Ofcom’s decision in 2012, a ruling which today BT went on to successfully appeal.

Based on the verdict, the CAT will have to reopen the issue and look at how much BSkyB should charge its rivals to air the likes of Sky Sports 1 and Sky 2

“Sky continues to believe that Ofcom's 2010 decision is flawed and that the WMO [wholesale must offer] obligation ought properly to be removed, and will continue to pursue all available options to achieve this aim,” said BSkyB in a statement.

Meanwhile, BT said: "We are glad that this issue will now be considered afresh and are hopeful that the outcome will finally deliver increased competition in pay-TV which would be in the best interests of consumers.

“Ofcom was correct to impose the wholesale must offer ('WMO') on Sky and this remains essential to address the significant competition concerns with Sky's supply of its channels."

Similarly, Ofcom welcomes the decision, saying that fair and effective competition in the pay TV market has always been its objective.

Bt Sky

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