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Germany: EC telco questionnaire hints at trouble brewing

By  |  January 27, 2014

The European Commission reportedly sent out a questionnaire to various telecommunications companies reportedly suggests the regulator is concerned about various issues in the German market regarding Telefonica Deutschland and the German unit of Royal KPN.

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    The companies inked a deal last summer to merge for nearly $11.7 billion. But according to reports, the Commission’s inquiry into network sharing agreements and radio spectrum allocation suggest authorities are concerned about the telco deal.

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    The questionnaire reportedly asks telcos about retail and wholesale market pricing and competition in Germany. Further, authorities are looking for input on how a merger would affect radio allocation. If the Telefonica/KPN deal is cleared, it would create the largest wireless operator in the nation, reducing the number of national competitors from four to three.

    Full Content: Wall Street Journal

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