5 September 2017
In the years 2014-2015, Digita Oy distributed the high definition (HD) channels of the Finnish Broadcasting Company (YLE) for free over a terrestrial antenna network. An investigation of this by the Finnish Competition and Consumer Authority (FCCA) provided no evidence that Digita’s operations restricted competition and the investigation has been terminated.
In February 2014, DNA Oy requested the FCCA against Digita Oy. DNA alleged that Digita was abusing its dominant market position in the market for terrestrial television broadcasting services, by offering the distribution of HD channels on Digita’s terrestrial network for free to the Finnish Broadcasting Company (YLE).
The FCCA investigated Digita’s practices as a possible case of prohibited pricing that is lower than the costs, or so called predatory pricing. However, the free distribution of YLE’s HD channels was not initiated by Digita, but was due to a policy of YLE, which states that YLE’s HD channels were available to all distribution operators free of charge with the same terms and conditions. Distribution operators have therefore been able to participate in price competition with respect to who is allowed to distribute YLE’s HD channels.
In addition, since no other evidence was found to support the possibility that Digita’s practices were based on the idea of edging competitors out of the market, the FCCA has terminated the investigation.
Further information: Senior Research Officer Miira Kuhlberg, tel. +358 (0)29 505 3322, email@example.com