EU investigates Hollywood’s TV exclusives
Winter is coming! exclaimed Amedia, a Russian film company that signed a five-year output deal with HBO, giving it exclusive rights to some of the most popular series of the U.S. cable network: Game of Thrones (which features a plot line involving ominous chaos in a snowy northern and frigid clime) Newsroom, Girls, True Blood and Boardwalk Empire. But trouble also may be brewing in international pay TV. The European Union’s Antitrust Commission — which bared its fangs in a just-settled dispute with search engine giant Google — is opening an investigation into whether major U.S. film studios’ contract clauses and practice of granting exclusivity to content through online streaming and pay television violate the EU’s anti-competition laws. Studios — including 20th Century Fox, Warner Bros., Sony, NBC Universal and Paramount — “license audiovisual content to pay-TV broadcasters” such as, BSkyB, France’s Canal Plus, Sky Italia, Sky Deutschland and Spain’s DTS, on an exclusive and territorial basis. As reported by EntLawDigest.com, in the Premiere League / Murphy cases, the Court of Justice held that exclusive television licensees of soccer matches “killed both competition and the ongoing dream of a single EU market by creating division along member-state border lines.” And according to The Hollywood Reporter, “The provisions granting absolute territorial protection ensure that the films licensed by the U.S. studios are shown exclusively in the member state where each broadcaster operates...
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