[THE INVESTOR] A group of cable TV operators on June 15 urged the government to make a swift decision on the merger and acquisition of IPTV firm SK Broadband and cable TV company CJ HelloVision.
“Constant efforts should be made to restructure the broadcasting and communications market, and to attract new investment,” said the Korean Cable Television Association, asking state regulators to speed up the process of approving the M&A.
The KCTA said the prolonged review sessions of the regulators are widening a rift between different interest groups in the telecom and TV sectors.
Network operators KT and LG Uplus as well as IPTV companies have expressed their opposition to the planned M&A, arguing that the deal, if approved, will allow SKB and CJHV to exert a great deal of influence in both the IPTV and cable TV industries.
SKB is wholly owned by Korea’s largest mobile carrier SK Telecom, whose subscribers account for 50 percent of the entire number of mobile network subscribers in the nation.
Some critics expressed concerns that the proposed deal will allow SK Group affiliates to cement their lead in the telecom and broadcasting markets.
SKB announced last year that it would merge with CJHV after taking over the firm, and it is currently awaiting approval from the Ministry of Science, ICT and Future Planning, the Korea Communications Commission, and the Fair Trade Commission.
By Kim Young-won (
wone0102@heraldcorp.com)
