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ARTICLE · 18 AUGUST 2010

French Competition Authority Issues Opinion on the Mobile Phone Market

SJ Berwin LLP
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On 29 July 2010, the French Competition Authority (the "Authority") issued an opinion on the wholesale market for mobile phone connections between different operators.

FranceAntitrust/Competition Law
SJ Berwin'S EU & Competition Team
SJ Berwin'S EU & Competition Team

On 29 July 2010, the French Competition Authority (the "Authority") issued an opinion on the wholesale market for mobile phone connections between different operators.  The Authority issued the opinion at the request of the French Telecommunications and Posts Regulator (the "Regulator"). 

Mobile phone operators make certain payments to each other whenever the user of one mobile phone operator communicates with the user of another mobile phone operator (the "Rates").

The Authority considers that a decrease in the level of the Rates is necessary in order to protect competition on the markets for electronic communications.  Due to high Rates mobile phone operators have been encouraging calls to the same network (for example, by offering unlimited calls to the same operator).  Fledgling players and new entrants suffer in this sort of a situation.  This is why the Regulator had previously ordered that the Rates be decreased.

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