REGULATORY · INDIA

CCI dismisses abuse claim against BookMyShow

Economic Times
Change
The Competition Commission of India dismissed allegations that Big Tree Entertainment (BookMyShow) abused its dominant position in the online movie ticketing market and closed the case.
CCI dismisses abuse claim against BookMyShow
Why it matters
The Commission found BookMyShow holds a dominant position in the online movie ticketing market. Complainant Vijay Gopal, founder of Showtyme (registered as Vanila Entertainments), alleged 2–5 year exclusive agreements with cinemas and high convenience fees that raised entry barriers and consumer prices. The Commission ordered a director-general investigation, and the DG reported findings of contravention. The Commission cited prior decisions that exclusive or long-term arrangements entered for efficiency do not amount to abuse absent foreclosure or unfair conditions, and concluded there was no abuse, then closed the case.
Implications
  • No remedial orders or sanctions issued against BookMyShow in this proceeding.
  • The director-general's finding of contravention was not adopted as the enforcement outcome in this case.
  • Alleged 2–5 year exclusive agreements with cinemas are not classified as abusive conduct for this proceeding.
Who is affected
  • Incumbent online movie ticketing platforms
  • New entrant online ticketing platforms
  • Cinema exhibitors/operators
  • Competition enforcement authorities
Source

Economic Times

Topics

World & Politics Policy & Regulation Law & Public Safety Regulatory Actions

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