IP Vision has formally complained to Ofcom, asking it to examine whether the Canvas joint venture will 'stifle industry innovation, inhibit competition and ultimately restrict consumer choice.'
Eddie Abrams, IP Vision's CEO, said: "As a leader in this nascent sector in the UK, we are all in favour of healthy competition that benefits both the industry and consumers. However, this group of industry Goliaths, supported in part by BBC licence fee funds, will have the power to dominate the sector—even though what Canvas will offer will not be superior to solutions already on the market. Surely this can't be good for the UK television industry or for the consumer?"
Abrams continued: "As well as requesting a level playing field for IP Vision and other young, innovative companies in this space, we believe that by questioning the validity of the Canvas joint venture, we are also championing the consumer. If Project Canvas rolls out as intended, market competition, consumer choice and technology and commercial innovation will be stymied. The consumer will end up paying the price of an uncompetitive market in the form of restricted content, service and technology choice. For that reason, we have asked Ofcom to review whether the Canvas joint venture is in breach of the Competition Act 1998."
A statement from Project Canvas said: "Project Canvas will discuss the grounds of any complaint by IP Vision with Ofcom. Our proposals remain unchanged and will create an open standards-based internet connected TV environment that will deliver the best results for consumers; giving them the greatest choice of devices, content services and applications within a competitive market. We remain focused on this goal."
Image: Indicative Canvas Interface
DTG Staff | 18.08.2010