Markets, Competition and Structures
Integrated Communications System (ICS)
The Consolidated Law defines the ICS as the segment of the economy that includes: daily and periodic press, directories and electronic publishing, including via the Internet; radio and audiovisual media services; cinema; external advertising; product and service communications initiatives; and sponsorships. By Resolution No. 555/10/CONS of October 28, 2010, AGCOM published the analysis result, based on which it identified relevant markets within the aforesaid system:
- Free-to-air television broadcasts;
- Pay TV;
- Radio broadcasts;
- Daily editorial market;
- Periodicals.
Having identified the significant market segments, AGCOM must now verify that neither the Integrated Communications System nor any of its component market segments feature operators enjoying a dominant position within the meaning of Article 43, paragraph 2, of the Consolidated Law on Audiovisual Media Services.
Advertising Market and AGCOM Exploratory Inquiry
In July 2010, AGCOM launched an exploratory inquiry into the advertising market, which it then expanded and extended in April 2011 to include the online advertising market, with regard in particular to "over-the-top" operators. The potential of Web 2.0 (social networks) as an advertising vehicle will also be examined.
By Resolution No. 70/11/CONS of February 16, 2011, AGCOM acknowledged the measures established in Resolution No. 136/05/CONS safeguarding pluralism by abrogating the measure that required Mediaset to avail itself of an advertising agency other than Publitalia for advertising sales for digital programming other than simulcasts on Canale5, Italia1 and Rete4.
Market 18
By Resolution No. 24/11/CONS, AGCOM extended the obligations incumbent upon RAI and RTI as recognized operators with significant power in the analog broadcasting services market until December 31, 2012 or until the switch-off is completed. Those obligations include: access to analog broadcasting sites, transparency, non-discrimination and separate accounting.
On the subject of the competitive structure of the digital terrestrial network market following the beauty contest, AGCOM believes that the market is competitive and is not in need of preventative regulatory measures. TIMedia objected to such conclusion, as the competitive procedure has been structured in a way that would officially drag RAI and Mediaset’s dominant position on the analog network market into the digital network market.