A PYMNTS Company

Mexico: IFT postpones decision on Disney-Fox merger

 |  March 5, 2019

Mexico’s Federal Institute of Telecommunications (IFT) announced it would make a decision on the Fox-Disney merger this week, after having postponed its decision to receive additional documentation and build up their position.

The regulator had planned to define last Wednesday the merger between both companies. At this time, the largest telecommunications operator in Mexico, América Móvil, has also requested a permit to enter the television and video market. América Móvil’s main rival, AT&T, has also requested permission to distribute video products using 5G technology, which could modify the regulator’s calculations.

Similarly, Brazil’s competition authority, CADE, approved the merger between the two entertainment giants with certain conditions when warning of competition risks in pay television markets, particularly (and as could happen in Mexico) in relation to Sports channels such as ESPN and Fox Sports.

Experts estimate that the IFT will decide in favor of this merger during the first week of March, but with the condition that Disney also sell assets in Fox Sports. Mexico will then become the second Latin American country to endorse the operation.

Full Content: El Economista

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.