The highly publicized partnership between Great Britain's largest bookmaker and Europe's second biggest pay TV company has been called off.
Hilton Group plc's Ladbrokes sports betting division and British Sky Broadcasting
Group Plc (BSkyB) said Monday that they have canceled a plan to offer Ladbrokes' fixed odds betting service on BSkyB's Sky Sports and other television channels.
Last week the U.K. Competition Commission announced the launching of an investigation into the interactive TV betting venture--the first probe of its kind in the country.
Under U.K. fair trading laws, ventures can be referred to the Commission if they "create or increase a market share of 25 percent of the supply of particular goods or services" or, "involve the takeover of assets worth more than £70 million."
The Commission has two distinct functions: to inquire into and report on matters referred to it by the other U.K. competition authorities concerning monopolies, mergers and the economic regulation of utility companies and to hear appeals against decisions of the Director General of Fair Trading (DGFT).
The BSkyB/Ladbrokes plan was proposed in July 2001.
The investigation followed an initial assessment by the DGFT into the venture.
The companies said they will continue to discuss other business opportunities.