FRANCE TELECOM ESCAPES FINE FOR ABUSE OF DOMINANT POSITION.

Position:Anti-competitive practices - Brief Article
 
FREE EXCERPT

France Telecom has managed to escape sanctions by the national Competition Council following a complaint regarding anti-competitive practices filed in 1999 by the Internet access supplier Club Internet against Wanadoo, at the time a subsidiary of the French telecommunications giant. The Council's decision not to condemn France Telecom runs counter to the French Competition Directorate-General's recommendation of a Euro 50 million fine, according to sources close to the case. The Council believes that whilst Wanadoo did benefit from the network of France Telecom agencies in promoting and selling its subscriptions, this practice was not accompanied by "predatory" prices (below real costs) to undermine the competition. Nor did the practice result in "long-term disruption of the market" since at the same time - 1999 and 2000 - Wanadoo actually lost market share to its competitors, according to the Council decision.

Club Internet outlined three...

To continue reading

REQUEST YOUR TRIAL