OTTAWA – The CRTC today denied an application by Bell accusing Quebecor’s Videotron of giving itself an illegal preference by removing Bell’s channels from its rotation.
Videotron first proposed to remove Bell’s Vrak.tv and Z, claiming that it didn’t want to continue to pay royalties for channels that weren’t performing well. Bell fired back with a Part 1 application in August asking the CRTC to find that Videotron, by removing its channels, was giving its own channels an undue preference.
In order for Bell’s argument to work, the commission had to find that Vrak and Z were similar to Videotron’s channels, today’s decision said.
“In its application, Bell Media failed to provide relevant evidence regarding the comparability of specific services and their content,” the CRTC ruled. “Bell Media argued instead that any of [Videotron channel] TVA’s or Bell Media’s French-language discretionary services as well as other French-language discretionary services distributed in Quebec are comparable entities.
“In its reply, Bell Media submitted that VRAK’s programming is now more similar to the programming of TVA’s service addikTV. The Commission notes that Bell Media did not provide evidence to support this assertion,” the decision read.
“Therefore, the Commission finds that Bell Media has failed to demonstrate that TVA distributes other services that are comparable to VRAK and Z,” the decision added. “Given the lack of comparable entities, the Commission is therefore unable to find a preference or disadvantage based on the record of this proceeding. Accordingly, the Commission does not need to determine whether the preference or disadvantage is undue.”
The decision added that it agrees with Videotron that the popularity of Bell’s channels in question are in decline.
The CRTC also lifted the standstill rule, often initiated by a complaint and which requires in this case that the Bell channels remain in Videotron’s suite until the CRTC makes a decision. But it noted that this “does not mean that Videotron is now required to cease distribution of the Services.
“The Commission encourages the parties to continue to negotiate distribution terms, with or without assistance from Commission staff.”
