The Swiss Competition Commission (ComCo) has imposed a sanction of CHF 71.8 million on Swisscom and Cinetrade/Teleclub for alleged prohibited marketing of sports content via pay TV.
Swisscom owns 49 percent of Cinetrade, which in turn owns pay TV broadcaster Teleclub.
According to ComCo, the two companies occupy a dominant market position, particularly in the broadcasting of national football and ice hockey events, and must offer all TV platforms in Switzerland – if technically feasible – an equivalent Teleclub sport offering at non-discriminatory terms and conditions.
The sanction is half the amount proposed by ComCo last July, and is the latest installment of an investigation that the regulator started in 2013.
The operator said it would lodge an appeal with the Federal Administrative Court and, if necessary, the Federal Supreme Court.
Both Swisscom and Cinetrade/Teleclub said they were confident that they had “acted lawfully”.
Swisscom said it was not setting aside any financial provisions for the ruling.
The company’s TV service has grown steadily during recent times.
The number of TV access lines grew by 36,000 during the first quarter, meaning the operator has added 166,000 over the past 12 months.
In total it has 1.37 million TV access lines.
Last month, Swisscom launched a new TV box featuring ultra-high definition picture quality.
The operator saw profits jump on falling sales in the first quarter after it made good on a promise to cut costs.