Telefónica challenged Telecom-Cablevisión's concentration on an alleged dominant position in the telecommunications market



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23-07-2018
The Spanish capital company has criticized the resolution of the Ministry of Commerce because it believes that it would not limit the anti-competitive impact. In addition, he reported that he had filed lawsuits in the country

After the Secretariat of Commerce approved the merger of Telecom with Cablevisión Telefónica filed an objection before the body considering that the new company will exercise dominant position .

According to the Spanish Capital Corporation, this is an operation involving the main pay-TV provider of the country and which will concentrate almost 60 % of the fixed broadband market at the national level and up to 90 % in some

In addition, he points out that the Resolution of the Ministry of Commerce would obstruct the development of effective competition on the telecommunications market.

In this regard, Telefónica estimated that the decision could affect the investments required by the sector.

Examinations
Telefónica ensured four key points of the resolution of the Secretariat of Commerce that gives the green light to the new telecommunications giant.

First, it states that the decision does not go " to limit the anti-competitive impact of the merger, since the merged company will be the longest single company who will be able to offer integrated packages in Argentina ", while" their competitors will continue to face limitations to make competitive bids. "

Secondly, he badures himself that the resolution does not guarantee that competitors" can gain access to the fixed networks of the merger business given in ] interior of the country ". At this point, he points out that the new company is offering bandwidths greater than 20 Mbps in its cable network, while Telecom has promised to offer its competitors a ] produced wholesale on its copper network with the maximum bandwidth of 6 Mbps .

Third, he indicates that the measure does not require to Telecom conditions for it to have " preferential access to relevant content for competition in the Argentine territory ", while not regulating" his indiscriminate marketing "]

Finally, he notes that the resolution" only resolves not the clear competitive advantage that Telecom has in spectrum to provide mobile services ( 80 MHz more competitors than its competitors res) "but only ENACOM recommends that use said spectrum until executes his return .

Telefónica also considered that the decisions taken by the Argentine authorities lead to " contradictory" with the objective which was raised by the country from to enter to OECD to equip public policies in line with international best practices .

In this context, they informed that they had instituted lawsuits in national jurisdictions to challenge a decision that considered unjust.

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