The COMESA Competition Commission (Commission) has imposed hefty fines of USD 300,000 each on the Confederation of African Football (CAF) and beIN Media Group LLC (beIN) for violating Article 16(1) of the COMESA Competition Regulations.
The penalties come in the wake of an investigation initiated in 2017 against CAF regarding agreements with third parties for the commercialization of rights related to CAF football competitions.
The Commission’s Committee Responsible for Initial Determinations (CID) scrutinized two Memoranda of Understanding between Lagardére Sports S.A.S and beIN in 2014 and 2016, known as the beIN Agreements, leading to a finding on December 22, 2023.
The CID determined that certain provisions of these agreements violated Article 16, pointing to a lack of an open tender process for awarding pay-TV broadcast rights, disproportionately long durations, and an excessive scope of media rights, all contributing to a significant distortion of competition within the Common Market.
The CID issued orders for the cessation of all media rights awarded to beIN under the agreements by December 31, 2024. Additionally, CAF is directed to adopt an open, transparent, and non-discriminatory tender process for future exclusive media rights, with stringent criteria and public disclosure.
The CID emphasized that any exclusive agreements for media rights should not exceed a four-year duration and must be offered as separate, commercially viable packages on a platform-neutral basis.
Dr. Willard Mwemba, Director and CEO of the COMESA Competition Commission, emphasized the importance of fair competition, stating, “This decision marks the closure of the second investigation by the Commission in relation to the commercialization of media rights of CAF football competitions.”
Parties dissatisfied with the CID decision have the option to appeal to the Appeals Board within 60 working days, failing which the decision becomes final and binding.
The Commission also announced that a non-confidential version of the CID decision on the beIN Agreements would be published on the Commission’s website within 30 days. The CID’s decision on agreements involving Lagardere Sports and SuperSport was issued on December 4, 2023, underscoring the Commission’s commitment to addressing anti-competitive business practices in the realm of media rights for CAF football competitions.
