The Competition Commission has rejected Prasar Bharti's complaints that TV rating agency TAM Media was indulging in unfair and anti-competitive practices, even as it found it to be a dominant player for audience measurement for TV channels and their programmes in the country.
Prasar Bharti had filed a complaint with the Competition Commission of India (CCI) against TAM, alleging abuse of dominant market position and use of unfair trade practices in determining television audience count for various broadcasters.
In its complaint, Prasar Bharati alleged that while there were more than 20 million TV households in the country, TAM installed meters in only 8,000 homes and that too in the cities that had a population of more than one lakh. The agency has also been accused of ignoring rural as well as smaller towns.
"...OP (TAM Media) has clearly disclosed to its stakeholders and has also stated on its website as well in every subscription contract entered between OP and the advertisers / broadcasters that its data is largely representative of viewing preferences of the urban and semi-urban population," the Commission said.
It added, "Hence, no unfair and discriminatory condition was imposed on any subscriber as all the subscribers to OP's data were well aware of the methodology used by the OP and its limitations."
Further the regulator noted that that there is no contract that obligates TAM to enter into the rural area.
"Therefore, the Commission is of the view that OP is not imposing any discriminatory or unfair condition on broadcasters," CCI said rejecting the complaint after a DG-level investigation.
It was also alleged that TAM was limiting the provisions of audience measurement services, imposing discriminatory subscription rates for advertisers and broadcasters, among others.
On which, CCI said, "It may be noted that a dominant enterprise can charge different price for a particular service where the operation and use of the same are in different market conditions."
The regulator considered 'audience measurement for channels and programmes on television in India' as the relevant market for the case.
CCI, which is mandated to keep a tab on anti-competitive practices in the market across sectors, refers a case for detailed probe by its investigating arm, Director General (DG) of CCI, after finding prima facie evidence to violations of competition rules.
The complaint against TAM was probed for alleged violations of Competition Act's Section 4, which pertains to abuse of dominant market position by an enterprise.
