TELECOMS provider OTENet Cyprus has issued a complaint to the Competition Directorate General of the European Commission regarding CyTA’s controversial deal with LTV.
The multi-million pound deal between the island’s state run telecommunications authority and subscriber channel LTV envisages the latter providing television content to CyTA’s miVision digital platform in coming years.
The agreement has caused a storm of protest from private telecom operators who say the collaboration will create a super-monopoly in the telecom business, killing competition in the market once and for all.
Previously, OTENet CEO Anthony Voskarides had told the Cyprus Mail, “We have no problem with CyTA getting access to television content per se. Good for them. The core problem is, the deal with LTV is exclusive. That means that all other providers are left out of the loop a priori. We can’t negotiate with LTV for the right to manage their programmes.”
Speaking on state television last night, CYTA General Manager Nicos Timotheou said that he wasn’t worried with OTENet’s complaint to the European Commission.
“This deal is still being investigated by the relative committees in Cyprus so it is not even sure that they will look at the complaint”, said Timotheou.
He added that CyTA was determined to see the deal go through arguing that everything is being negotiated by the book.
“The assumption by some people that we will be cornering the market with this deal is totally untrue. Our television channel miVision has around 9,500 subscribers, which is a low number compared to other channels – so how can this venture be deemed a monopolistic deal that will close the window on other companies?”
He added that he was hopeful that deal would be finalised in the next few days, noting that the decision of the House Competition Committee was the main element holding back the deal.
“If all goes well, then television viewers could well see the launch of the venture by this coming August.”
Meanwhile, the discussion of CyTA’s budget for 2006 was not discussed yesterday at the plenum after House President Demetris Christofias ruled that a decision should not be made on the budget until the matter regarding CyTA’s deal with LTV has been discussed and decided at the House Competition Committee. It was decided that CyTA’s budget for 2006 would be looked into again at the next plenary session.