Telecommunications Federal Institute (IFT) defined that Comband S.A. de CV, a subsidiary to which MVS Comunicaciones transferred its restricted TV concession titles in 2015, must pay a USD 3.2 million restitution to begin its FTA TV broadcasts in Mexico City and 17 other municipalities of the country through its own digital TV channel.
Comband has a 30 day term to pay the resolution and other conditions, which began to take effect once the IFT officially announced its determination to the company, during the first days of March. If Comband does not follow IFT’s orders, the authorization for the MVS FTA channel will not be valid after having been authorized by the IFT Radio, Concession and Services Spectrum, on February 20th.
If Comband of MVS Communications meets the deals set by IFT, the regulator’s Media and Audiovisual Content Unit will assign a virtual channel through which Comband can send its TV broadcast in Mexico City. IFT also considers the possibility for MVS to multiprogram its broadband to configure additional sub-channels of digital FTA TV, which was the argument used by MVS Comunicaciones in 2014 to request the Mexican regulator to be able to broadcast on FTA from restricted TV, which it denied at that time.
Mexican Supreme Court of Justice ordered IFT to re-discuss and grant MVS its request to enter FTA TV Mexican capital market. The service was authorized and is valid until November 18th, 2020, the date on which the restricted TV concession expires. Once that term reaches its expiration date, MVS must process an application for the renewal of its concession for the IFT to analyze it and, in case of approval, establish a new restitution and its validity.