Mexico: Landmark telecom bill passed by senate, closes loopholes

A landmark bill was passed by Mexico’s Senate on Friday which aims to increase competition within the telecommunications market. The legislation will allow companies under the industry regulator, the Federal Economic Competition Commission, to request temporary injunctions against punishments issued to them, such as fines and forced divestments. Telecommunications and media companies, however, are to face such punishments from a separate agency, the Federal Telecommunications Institute; the former agency’s decisions cannot be suspended as they can with the Federal Economic Competition Commission. According to reports, among the most affected by the bill are Mexico’s two largest phone and media companies, America Movil SAB and Grupo Televisa SAB. Under the new legislation, regulations issued upon them cannot be suspended while they wait review of cases that they appeal. This change bars companies from using the previous tactic of suspending regulatory decisions through appeals.

Full Content: Bloomberg

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