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Ofcom has started an investigation into whether making Sky offer its sports channels to rival pay TV providers is the best way to ensure a competitive market.

Since 2010, Sky has been forced to wholesale Sky Sports 1 and 2 to other providers. However, Sky argues it is willing to offer them on mutually agreed commercial terms without the need for Ofcom to regulate.

Since BT Sport arrived on the scene, Ofcom has said it will review its original decision. BT Sport and Sky fight tooth and nail for exclusive live rights to sports like Premiership football and rugby. From next season, BT Sport will have exclusive rights to the Champions League. It claims to be in more pubs than Sky Sports.

"Sky currently holds over 75 per cent of live rights to Premier League football and has more than 80 per cent of market revenues from the supply of key sports channels," Ofcom said in a statement. "The content Sky has is likely to influence the purchasing decisions of a sizeable proportion of high-value customers. Retailers that do not have access to this content would find it more difficult to compete for these customers."

Because BT has less content than Sky, Ofcom reckons it's unclear whether limiting its availability would harm competition.

You can see more on the Ofcom website. It will announce more details in 2015.

Source: Seenit

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