Federal Office opens proceedings against Cablecom

The Federal Office of Communications (Bakom) is investigating whether Switzerland's largest cable network operator is in violation of its license. According to the license, access to digital television services may not be made contingent on the rental or purchase of a set-top box.

The Federal Office of Communications (OFCOM) is investigating whether Switzerland's largest cable network operator is in breach of its license. Although the proceedings were initiated back in April 2005, they have only now become known. In an interview with NZZ am Sonntag, Bakom confirmed that the main issue is whether Cablecom is entitled to link access to the digital television service to the purchase of a Cablecom set-top box. The 2002 concession stipulates that subscription television services may not depend on the purchase or rental of a set-top box. This was intended to prevent a technology monopoly. Cablecom is also facing charges from the Foundation for Consumer Protection (SKS) for years of abuse of its dominant market position. For them, it is clear that Cablecom has illegally forced consumers to buy its own technology for years. It has announced that it will file a complaint with the Competition Commission (ComCo) for abuse of a dominant market position. The ComCo will have to clarify whether a dominant market position actually existed and was abused. For its part, the ComCo had already drawn the attention of Bakom to a possible infringement of the license in February 2003. The SKS is therefore not thrilled that OFCOM only opened the proceedings in 2005.
The question of encryption is still unresolved. However, this is likely to come to the political stage shortly as part of the ordinance on the Radio and Television Act. The ordinance is due to come into force in April next year. The demand for a free and unencrypted basic service - as requested by the price watchdog - is also currently being examined, according to OFCOM.

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