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Germany/Czech Republic: Deutsche Telekom may become wireless-only company

By  |  August 31, 2013

Media are reporting that telecommunications giant Deutsche Telekom is reviewing how to overhaul its Eastern Europe operations, a strategy that could include the divesture of its unit in the Czech Republic. Of top priority, say reports, is for Deutsche Telekom to decide whether to become a mobile-only operator or to remain in both the mobile and fixed-line businesses.

The company review has experts eying Deutsche Telekom’s 61 percent share of T-Mobile Czech Republic. T-Mobile recently voiced concernsthat the Czech Republic’s telecommunications watchdog is biased towards selling spectrum to a new market entrant in efforts to increase competition. The government has scheduled a spectrum auction for the end of the year.

Reports, originally published by The Wall Street Journal,advise that the German telco giant could keep its Czech unit to maintain its presence in the country.

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