The Commerce Commission's tools are too blunt to deal with the growing convergence between telecommunications companies and broadcasters, and an independent regulator would be a better option for the sector, according to ASX-listed Quickflix.
The Sydney-based streaming and on-demand video supplier backs an independent regulator to monitor the rapidly changing face of telecommunications and broadcasting, which are crossing into each other's territory as firms look to cash in on a shift to watching movies and TV shows over the internet.
New Zealand managing director Paddy Buckley told BusinessDesk the Commerce Commission does not tend to act "until things have come to a head". An engaged independent regulator would probably make a difference in assessing the issues facing the industry and working in a constructive manner to address them.
"The Commerce Commission itself has some pretty blunt tools at its disposal," Buckley said. "An independent regulator would be more nimble and would have been talking about all these issues a long time ago."
The antitrust regulator yesterday launched a probe into pay-TV operator Sky Network Television's control of premium content and contracts with internet service providers, saying they may fall foul of the Commerce Act in being uncompetitive.