How Does Online Streaming Affect Antitrust Remedies to Centralized Marketing? The Case of European Football Broadcasting Rights

Ilmenau Economics Discussion Papers (2019), Vol. 25, No. 128

28 Pages Posted: 10 Jul 2019

See all articles by Oliver Budzinski

Oliver Budzinski

Ilmenau University of Technology

Sophia Gaenssle

Ilmenau University of Technology

Philipp Kunz-Kaltenhäuser

Ilmenau University of Technology

Date Written: June 30, 2019

Abstract

The collective sale of football broadcasting rights constitutes a cartel, which, in the European Union, is only allowed if it complies with a number of conditions and obligations, inter alia, partial unbundling and the no-single-buyer rule. These regulations were defined with traditional TV-markets in mind. However, the landscape of audiovisual broadcasting is quickly changing with online streaming services gaining popularity and relevance. This also alters the effects of the conditions and obligations for the centralized marketing arrangements. Partial unbundling may lead to increasing instead of decreasing prices for consumers. Moreover, the combination of partial unbundling and the no-single-buyer rule forces consumers into multiple subscriptions to several streaming services, which increases trans-action costs. Consequently, competition authorities need to rethink the conditions and obligations they impose on centralized marketing arrangements in football. We recommend restricting the exclusivity of (live-)broadcasting rights and mandate third-party access to program guide information to redesign the remedies.

Keywords: collective sale of broadcasting rights, sports economics, antitrust, competition policy, centralized marketing, sports and media, football, online media

JEL Classification: Z20, Z21, Z28, K21, L40, L83, L82

Suggested Citation

Budzinski, Oliver and Gaenssle, Sophia and Kunz-Kaltenhäuser, Philipp, How Does Online Streaming Affect Antitrust Remedies to Centralized Marketing? The Case of European Football Broadcasting Rights (June 30, 2019). Ilmenau Economics Discussion Papers (2019), Vol. 25, No. 128 . Available at SSRN: https://ssrn.com/abstract=3417423 or http://dx.doi.org/10.2139/ssrn.3417423

Oliver Budzinski (Contact Author)

Ilmenau University of Technology ( email )

Ilmenau, D-98684
Germany

HOME PAGE: http://www.tu-ilmenau.de/wth

Sophia Gaenssle

Ilmenau University of Technology ( email )

Ilmenau, D-98684
Germany

Philipp Kunz-Kaltenhäuser

Ilmenau University of Technology ( email )

Ilmenau, D-98684
Germany

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