Timvision: a partner in overcoming the challenge of public oversight

With Poste taking control of Tim, the Timvision issue has come to the fore. The former telecoms monopoly’s video platform can continue to distribute Netflix, DAZN, Amazon Prime Video, HBO Max and other services, but it must resolve the issue of its content offering. The solution currently under consideration would be to seek a partner to whom the management of on-demand content could be entrusted, in return for a fee.

According to *Il Sole 24 Ore*, the issue was discussed at TIM’s most recent board meeting, the one that approved the nine-month financial results. A dossier was tabled that stems from the change of ownership. With Poste Italiane’s stake having risen to 87 per cent following the public takeover bid, Timvision has also come under the control of the group over which the Ministry of Economy and Finance (MEF) exercises de jure control, taking into account both its direct 23.70 per cent stake and the 28.36 per cent stake held by Cassa Depositi e Prestiti, a subsidiary of the Ministry.

And this is where the provisions of the Tusma – the Consolidated Law on Audiovisual Media Services – come into play. Article 5, paragraph 3, prohibits companies with a majority public shareholding from holding, either directly or indirectly, licences to provide media services, including on-demand services. The sole exception is the public service broadcasting licence holder.

For Tim, the crux of the matter lies in the platform’s dual role: it aggregates third-party subscriptions and content, but also offers its own on-demand catalogue of films, documentaries and TV series. It is this latter activity that makes it a content provider and necessitates action. In theory, there are three possible solutions at this stage: to sell the business, to remove the catalogue and remain solely an aggregator, or to entrust it to a partner. It appears that TIM has decided to pursue the latter option. TIM would thus continue to offer the service to customers, whilst outsourcing editorial management. For the plan to work, the arrangement will have to pass AGCOM’s scrutiny: finding a partner will be only part of the task.

The board had envisaged this happening in September: so, all things considered, one year on from the conclusion of Poste’s takeover bid for TIM. In the meantime, according to *Il Sole 24 Ore*, TIM will have to comply with a requirement: not to add any new content to its catalogue. Existing content would remain accessible to subscribers, to safeguard the service they have purchased. This would be a transitional phase during which the service would continue to operate, but without any new titles.