The Competition Commission has rejected Dish TV's allegation that six Multi-System Operators (MSOs), including Den Networks and Hathway Cable & Datacom, abused their dominant market position.
Siti Cable Network, Fastway Transmission, Gujarat Telelink and Sumangali Cable Vision are the other four MSO players against whom the complaint was filed by Dish TV.
The fair trade regulator has rejected the complaint saying that it did not find any "prima-facie case for causing an investigation to be made by the Director General".
Dish TV, a Direct-To-Home (DTH) operator, had alleged that the MSOs in abuse of their position of dominance, were forcing broadcasters to pay high carriage and placement fee for carrying and placing their channels.
The payment of such high fees by broadcasters was reducing the MSOs 'net content' cost compared to the DTH operators, Dish TV had alleged.
By this mode, the MSOs were destroying the level playing field and the DTH operators were unable to compete despite having a more efficient technology and a better quality product, it added.
In its order dated March 6, the Competition Commission of India (CCI) said that the allegations of Dish TV did not pertain to abuse of dominance by any one of the MSO player in a specific geographic region but was attributed to "collective dominance" to all MSOs together.
The Commission in this regard observed that "Indian law does not recognise collective abuse of dominance as there is no concept of collective dominance which has evolved in jurisdictions such as Europe".
According to the regulator the word "group" referred to in the Competition Act does not refer to "group of different and completely independent corporate entities" but refers to "different enterprises belonging to the same group in terms of control of management or equity".
The CCI also said that cases refered to by the Dish TV "merely refer to broad principles of European Competition Law, and is not applicable to Indian Competition Act, 2002".
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