Star – Zee distribution JV comes under the CCI scanner

NEW DELHI: Media Pro Enterprises, the joint venture for television channels distribution formed between Zee Turner and Star Den, has come under the scrutiny of the Competition Commission of India, which feels this would account for 70 per cent of the total TV distribution market and thus kill competition.

Investigation has commenced under Section 3 of the Competition Act 2002 and CCI is reported to have issued notices to all parties involved in Media Pro Enterprises under Section 36(2) and Section 41(2) of the Competition Act, 2002.
 
The JV with equal shares of both parties was formed in May between Zee Turner and Star Den to distribute a bouquet of 68 TV channels. Cable TV operators are reportedly concerned that Media Pro will dictate prices for Star and Zee channels.

Zee and Star India had at the time of the joint venture said the new company will create distribution efficiencies and also act as an incentive to cable digitisation; ultimately addressing signal piracy issues.