Corus Entertainment has filed a complaint with the Canadian Radio-television and Telecommunications Commission (CRTC), alleging that Rogers Communications is “engaging in predatory behaviour” to eliminate potential competition.
In a July 26 letter to the CRTC, published online in redacted form this week, Corus vice-president and associate general counsel Matt Thompson called for regulatory intervention to avoid a “material negative impact” on the television and radio broadcaster.
Corus alleged that Rogers is using its “dominant size and scale” to squeeze out Canadian competitors through foreign programming rights deals, as evidenced by agreements with Warner Bros. Discovery for rights to its popular lifestyle and entertainment brands and NBCUniversal’s Bravo channel.
Rogers’ multi-year agreement with Warner Bros. Discovery will take effect on March 1er January. This is a major blow for Corus, which is set to lose the Canadian rights to key brands such as HGTV, Food Network, Cooking Channel, Magnolia Network and OWN at the end of this year.
Corus also accused Rogers of using its cable and streaming platforms to discourage subscriptions to its content, such as its Disney-themed channels, by offering promotions for the Disney Plus streaming service.
In a statement, Rogers spokeswoman Sarah Schmidt called the complaint “meritless,” adding that Corus “has failed to respond to Canadians’ demands and is now relying on the regulator to protect its failing business model.”
“They are trying to force service providers to carry and our customers to pay for channels they no longer want to watch,” Mr.me Schmidt.
“They have to compete in a fair system and earn every customer, just like any other business.”
On Wednesday, Corus radio station 900 CHML in Hamilton, Ontario, announced it was shutting down due to the shift of “advertising revenue to unregulated foreign platforms.”
The station also blamed the closure on a “challenging regulatory and competitive environment” in a social media post.
Corus did not immediately respond to a request for comment on other details, such as how many employees would be affected and whether other radio stations under its umbrella would close.
Last month, Corus reported a third-quarter loss attributable to shareholders of $769.9 million, compared with a loss of $495.1 million a year earlier.
The company said it expects to have reduced its full-time workforce by 25% by the end of August, compared with the start of its 2023 fiscal year.