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The results of the Televisa Law in Mexico

A report released by the United Nations (UN) recounts and takes stock of the results of the Televisa Law in Mexico.

The case is dealt with in the 2021 Regional Human Development Report.

Overall, Televisa is a leading media company in the Spanish-speaking world, a major cable operator, an operator of a leading direct-to-home satellite pay television system, and a broadband provider in Mexico.

At a global level, the company distributes the content it produces through various transmission channels in Mexico and in more than 70 countries through 27 brands of pay television, television networks, cable operators and over-the-top services. or «OTT».

What follows is the analysis published in the referred report.

Televisa Law

In the early 2000s, the Mexican government decided to reform its telecommunications regulation.

The legislation in force at that time had been in effect since 1960 and was seriously out of date.

In October 2004, a bill was presented establishing the new legislation for the regulation of the sector.

Although the bill raised high expectations, the turbulence leading up to the presidential elections diluted the momentum for its approval.

On December 1, 2005, a completely different bill was proposed, which on March 21, 2006, the Chamber of Deputies passed into law unanimously after 7 minutes of deliberation.

The law was later approved by the Senate without modifications, with the opposition of a minority of senators.

Telecommunications industry

The new legislation passed in 2006 was seen as a setback for competition in the telecommunications sector.

It was criticized for benefiting established large companies over new ones in various ways.

First, it granted control of the radio spectrum concessions to active broadcasting companies for 20 years, renewable and with priority over third parties.

Essentially, it guaranteed companies like Televisa control of the radioelectric spectrum in perpetuity.

Second, it expanded the sphere of activity of these broadcasters.

Under the new law, those wishing to use the radio frequency for additional telecommunications services could do so free of charge, while interested new companies had to bid for the frequency through an auction process.

Competence

The new law made it extremely difficult for new firms to enter the market and the lack of competition in the telecommunications field meant a lower quality and reliability of the information issued.

The swift passage of this new legislation without a major review is said to have been the result of intense lobbying pressure.

Some legislators were critical of the Televisa Law, to the point that a group of 47 senators sued it.

The Supreme Court declared several of its articles unconstitutional and ordered their automatic repeal.

Despite the intervention of the Supreme Court to counteract Televisa’s interference in public policy on this occasion, the firm has maintained a close relationship with legislators.

 

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