INVESTIGATIONS
Competition Commission fines Swisscom Sfr220 million
for abusive margin squeeze
On November 5, 2009, the Swiss competition commission (FCC)
fined Swisscom AG Sfr219.9 million for abusive margin squeeze in
relation to broadband internet services provided until the end of
2007. Swisscom, which is Switzerland's largest phone company,
was found to have charged competitors (e.g., TDC A/S's Sunrise,
VTX Services SA and Green.ch AG) excessive prices for broadband
connectivity services, compared with the prices charged to end
users. According to the FCC, such high prices prevented
Swisscom's competitors from trading profitably in the fast
internet access business.
On October 20, 2005, the FCC launched an investigation regarding
a possible margin squeeze through the implementation of an unfair
price system by Swisscom in the market for asymmetric digital
subscriber line (ADSL). According to the FCC, there were
indications that Swisscom might dominate the
