ACM: two fixed networks is not enough

Tuesday 7 July 2015 | 17:20 CET | News
Two networks for consumer fixed services is not enough, according to ACM chairman Chris Fonteijn. He was speaking at a regulatory conference in London, discussing various issues dealt with by the Dutch regulator, such as the emergence of a duopoly on the market following the merger of UPC and Ziggo. 

According to Fonteijn, two dominant operators can lead to coordination between the main players and less investment and innovation, disadvantaging consumers. Such a situation has emerged in the Dutch market and may be evident in other European countries. Fonteijn cited a report from the OECD that said more mobile operators on a market can lead to more innovation and investment. 

KPN is required to open its network to alternative operators, while wholesale access was not imposed on UPC-Ziggo after their merger. The ACM found that access to cable networks offers fewer opportunities for unbundled access than over the copper and fibre networks run by KPN. The ACM is currently revising its decision on wholesale fixed access to provide further support for this argument, following comments from the European Commission. 

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