EU Opens Probe into Telefonica
Claiming that the Spanish telecommunications company, Telefonica S.A. had abused it’s dominant position in the market for broad band access, the European Union’ antitrust agency opened a probe last Wednesday.
In a statement, the Commission said the “margin squeeze occurs because there is insufficient spread between Telefonica’s prices for wholesale access and its tariffs for retail broadband access to end users.” The Commission’s assessment showed “new entrants have not been able to compete in the retail broadband access on the basis of Telefonica’s national and regional wholesale products.”
As reported in BusinessWeek.
Technorati Tags: antitrust, eu, Telefonica, dominant position
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