It is about to become easier and cheaper for football fans to watch their stars after the Common Market for Eastern and Southern Africa (COMESA) Competition Commission (CCC) tore up a dodgy deal between the continent football body and beIN, fining them $300,000 (sh1.14b) each on Thursday.
The Confederation of African Football (CAF) had awarded a 12-year, $415 million (sh1.6 trillion) broadcast contract to beIN which has now been torn up after complaints were raised over the lack of an open tender process in the award of the deal signed in 2016.
The CCC found that the deal resulted in significant prevention, restriction, or distortion of competition within the Common Market – of which Uganda is a member.
Dr. Willard Mwemba, the director and Chief Executive Officer of the CCC pointed out that the deal, which had made it more costly for local broadcasters in Uganda to broadcast Uganda Cranes CAF-sanctioned games had broken article 16 of the COMESA competition regulations.
“Having regard to the fact that the CAF competitions were held annually or every two years, the duration of the exclusive beIN agreements were disproportionally long and increased the likelihood of market foreclosure,” Dr Mwemba said.
He added: “The scope of the media rights under the beIN agreements, taken in conjunction with the lack of a tender process and the duration of the agreements, was excessive and was likely to have resulted in a significant prevention and distortion of competition in relevant markets.”
Mwemba ordered that the deal with beIN end on December 31st, 2024 for the 21 member state common market, and that an open and competitive tender process be carried out to re-issue the TV rights with an objective criterion approved by the CCC on various platforms including the CAF website.
CAF has also been forbidden from entering any new media rights deals for more than 4 years, it has also been ordered to create separate media rights packages and to ensure that no single entity gains all packages.
CAF has 60 days to appeal the fine and orders.
