French Billionaire Patrick Drahi Bids for TV Broadcast License Used by M6

Xavier Niel, a French telecommunications billionaire, has applied to France’s media regulator for the license to broadcast over the spectrum currently held by French TV channel M6. If Niel is successful, German media giant Bertelsmann SE & Co. could lose a key asset for one of the most profitable channels in Europe.

On Monday, regulator Arcom published the bids for the frequencies that are up for renewal in May. Both Television Francaise 1 and Groupe M6 applied to renew their own licenses, with Niel competing for the signal used by M6.

Niel's challenger bid comes after a shakeup in French media last year, when Bertelsmann and TF1 owner Bouygues scrapped a project to merge their channels because of antitrust hurdles. Bertelsmann then put its stake in M6 up for sale, with Niel and several other European media tycoons bidding. However, the company ultimately decided not to sell, in part because of the timing of the license renewal.

Arcom will now evaluate the candidates’ written proposals and hold hearings with them on February 15, before issuing new broadcast licenses for May 5. This process will help ensure that the best possible candidates are chosen for the licenses, and that the public has a chance to have their say in the process.

Niel's holding company, NJJ, is preparing to bid for the French television channel M6. According to a report in Le Figaro, NJJ has been contacting TV producers and writers to develop a project called "SIX." The competition is likely to push M6 to make stronger commitments to produce scripted programming in France, which is a key issue for the regulator.

Arcom usually supports the company that is already in charge in situations like this. However, if Niel were to win, M6 would no longer have its main distribution channel, which could be dangerous for the company and its 2500 employees.

M6 declined to comment when asked for a statement.

In an interview, Philippe Bailly, chairman of media consulting firm NPA Conseil, said that the question is whether Jean-Luc Melenchon is a real candidate for the upcoming TV license renewals, or whether he is simply putting down a marker for the future. Bailly noted that about a dozen smaller TV licenses are set to be renewed in 2025.

Bailly also questioned the need for a newcomer in the French TV market, describing it as "saturated."