British newspapers The Times and the Sunday Times – part of Rupert Murdoch’s News International stable – are under investigation by the Office of Fair Trading for alleged predatory pricing.
The inquest surrounds a subscription promotion earlier this year in which half a million households were offered the papers for £1 ($1.53; €1.56) a week for up to 48 weeks, compared with a normal cover price of £3.90. Rival publications have complained that the discounted price is significantly less than the titles’ unit production costs.
If the newspapers are found in breach of the 1998 Competition Act, they could face a fine of 10% of turnover since the offending promotion began.
News source: MediaGuardian.co.uk; additional content by WARC staff