Unfortunately we are witnessing another failure of the Cypriot authorities to control for the failures of the market. The market for television is far from competitive; I think the most robust argument to prove this statement is the subscription fees charged by the private channels (see mi-vision, nova, LTV). The main reason for the upnormal fees is the right to broadcast football matches which turns these companies to a monopoly against the fans of a particular team. However recently we have been experiencing another example of anti-competitive behavior. To be more specific I am referring towards the parties that are bidding to buy the rights for the new digital platform.
Three main parties have been trying to capture this new tool: Cyta, Cyprus telecommunication authorities, LGR and a consolidation of eight private channels. As for the last player, it seems to me obvious that there is a collusion going on. Additionally I would really like to know why the anti-trust authority has allowed for such a “consolidation” to be created and bid in order to acquire the new platform.