Karl-Heinz Rummenigge, chairman of Bundesliga football club Bayern Munich, has called for reform of the German television market amid concern over the “monopoly” position in the pay-television sector held by Sky Deutschland.
In April 2012, Sky held off competition from telecommunications firm Deutsche Telekom to acquire the key pay-television and mobile rights packages to the top division of German football for the period 2013-14 to 2016-17.
Sky acquired all live pay-television rights packages, including the IPTV rights which Telekom held in the previous cycle. Sky also acquired the mobile rights which Telekom had held.
An auction for the four seasons of the Bundesliga spanning 2017-18 to 2020-21 is expected by the middle of 2016 and Jeremy Darroch, group chief executive of Sky and chairman of the German pay-television broadcaster’s supervisory board, said in March that Sky Deutschland was in a “good” position to maintain its rights.
Rummenigge (pictured) has called for change, citing concern over the Bundesliga’s ability to drive broadcast revenues amid competition from its rival European leagues. “We are facing a big problem in Germany – the pay-TV market is de facto monopoly controlled,” he told the Sueddeutsche Zeitung newspaper.
“My concern is that if we do not succeed in resolving this monopoly, we will continue to sell below value.”
Rummenigge has said efforts should be made to encourage “new players” in the German television market. He added: “Only competition drives up the price, as it does in other markets. That’s why I would be very keen to put together different packages for different providers.”