THE television information service Oracle is to be investigated after
complaints that it discriminated against a company in the same field.
It could lead to Oracle's business practices being referred to the
Monopolies and Mergers Commission, if director general of Fair Trading
Sir Gordon Borrie gives the go-ahead.
Investigators from the Office of Fair Trading will look at the terms
and conditions that Oracle Teletext Ltd (Oracle), provider of teletext
on ITV and Channel 4, has applied to Cambridge-based McCallum Televox
Ltd (Televox) for advertising its services on Oracle.
A spokesman for the OFT said: ''The complaint is mainly concerned with
high prices.''
It is understood that OFT inquiries have been complicated by
litigation between the two companies.
Televox provides a new type of service for teletext viewers, who can
use the telephone to call up a wide range of information on their
screens. The firm says Oracle has discriminated against it.
Televox users need a teletext receiving television and can call up
information on racehorse ratings, shares, leisure, and competitions. The
broadcasting equipment reacts to voice commands.
Sir Gordon said: ''I am concerned when a company, which is in as
strong a market position as Oracle appears to be in relation to teletext
services on the independent television networks, adopts policies which
may have the effect of frustrating the development of new, competitive
services.''
Televox is pursuing a damages claim against Oracle in a High Court
writ alleging discriminatory treatment, said Televox managing director
Dr Malcolm McConachie.
He said a High Court injunction was granted to Televox in March, 1988,
to stop Oracle blocking Televox's broadcasting signals.
In a statement, Oracle said: ''McCallum Televox Ltd are currently our
clients and the contract that we have with them for advertising space
complies with our rate card and incorporates our standard terms and
conditions.''
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