France · Competition
Why Canal Plus had to keep a second French film buying team
France cleared Canal Plus’s acquisition of OCS and Orange Studio in January 2024 subject to five years of commitments. The company agreed to preserve a separate team that could offer to pre-buy French films for their first pay-TV window.
Sources checked
- 01Separate buying team
Preserve the independence of the OCS/Ciné+ team · French film projects in the first pay-TV window Source 1
- 02Dedicated resources
Provide separate staff, budget and cost accounting · OCS/Ciné+ film acquisition Source 1
- 03Pre-purchase offers
Make at least 25 qualifying proposals over five years · Projects rejected by the Canal+ team Source 1
- 04Catch-up rights
Allow the transfer of specified rights to free-to-air broadcasters · Some French catalogue films co-produced by Orange Studio Source 1
- 05Channel distribution
Offer the bundle to requesting distributors on non-discriminatory terms · French overseas territories Source 1
The remedies cover film financing, catch-up rights and pay-TV distribution in overseas territories.
Film rights can help finance a production
A pre-purchase is an agreement for future rights before a film is available for broadcast. The authority found that French producers had two outlets for pre-financing in the first pay-TV window, Canal Plus and OCS. It considered the loss of one outlet a risk to the diversity of films that secured finance. Source 1
The second team needs its own resources
The decision says the OCS/Ciné+ team must have dedicated staff and a budget linked to OCS’s 2022 agreement with cinema trade associations. Canal Plus must keep the two teams’ costs and revenues separately identifiable. The minimum of 25 proposals includes at least four a year, with at least one a year for a film budgeted below EUR 4 million. Source 1
The catalogue remedy is more limited
Canal Plus agreed to allow specified transfers of catch-up television rights to free-to-air broadcasters. The commitment concerns French catalogue films that Orange Studio had co-produced without holding a distribution mandate before the transaction. Source 1
The distribution remedy covers overseas territories
In some French overseas territories, distributors lacked sufficient alternatives to the OCS channels. Canal Plus agreed to offer the Ciné+/OCS bundle to distributors that request it there, using objective, transparent and non-discriminatory pricing conditions. The authority cleared the deal in its first phase of review. Source 1