Televisa ‘too powerful’ in Mexico

Mexican TV giant Grupo Televisa could face tighter rules around its pay TV operations after the country’s regulator found it had “substantial power” in large swathes of the market.

The Mexico City-based firm bought out cable company Cablecom last year in a deal that the Federal Telecommunications Institute (IFT) has now said resulted in Televisa ratcheting up its power in “99 relevant markets.”

The comments come after the IFT made a preliminary decision in March that Televisa had substantial power in the pay TV sector, paving the way for similar reforms to those undertaken in the free-to-air sector.

Televisa has nearly 10 million subscribers and has been in acquisition mode over recent months, buying Telecable in January and Cablecom late last year.

Mexico president Enrique Peña Nieto has been attempting to break up the concentration of power in the nation’s TV industry since his election, with the market dominated by Televisa and TV Azteca.

However, attempts to promote competition in the FTA market by selling off two new licences were thwarted earlier this month when it emerged one of the prospective buyers, Grupo Radio Centro, had failed to pay, forcing a rerun of the auction.