Italian communications regulator Agcom has ordered French media giant Vivendi to reduce its stake in Telecom Italia (TIM) or broadcaster Mediaset within 12 months on the grounds that it’s infringing anti-trust rules intended to prevent a concentration of power in the country's communications sector. In a long-awaited ruling, Agcom said Vivendi was in breach of article 43 of legislative decree no. 177 of 31 July 2005, known as the Gasparri Law, which could have an adverse effect "on the existing level of competition in the markets involved and on the degree of pluralism in the media system". The company, which has a 24 percent stake in TIM and a 28.8 percent stake in Mediaset, has been ordered to present a specific plan of action to Agcom within 60 days or face a fine equivalent to between 2 and 5 percent of its revenues.
Vivendi replied by issuing a statement expressing its surprise at Agcom’s decision, reiterating that it had always operated within Italian law, and specifically the Gasparri Law, and denying that it controlled or exercised a dominant influence on Mediaset which it said remained controlled by Fininvest with a stake close to 40 percent. It added that it reserved the right to take "any appropriate legal action", including an appeal and a formal complaint to the European Commission for breach of EU law.
Ironically, the Gasparri Law and other Italian media laws were in part inspired by concerns regarding the influence of former prime minister Silvio Berlusconi, who is still Mediaset’s leading shareholder through his family’s Fininvest holding. Agcom first announced an investigation into Vivendi’s aggressive stake building on 21 December following a complaint from Mediaset, which is also locked in a legal battle with the French company over the aborted sale of its pay-TV unit Premium. In its statement, Mediaset welcomed Agcom’s ruling, adding that it would be reading the grounds in full before deciding on its future actions.
