Deutsche Telekom CEO Tim Hoettges said he will fight against the proposed merger of Unitymedia and Vodafone Germany, calling the deal a mistake and warning it would distort competition, reported German business daily WirtschaftsWoche (WiWo). Hoettges said he “personally will fight” to ensure that Telekom is not disadvantaged and can compete “on equal terms” for customers.
United Internet said it was “confident” the planned takeover of Unitymedia by Vodafone would not be approved given the restrictions it would place on competition and the fact that it would lead to a duopoly of Vodafone and Deutsche Telekom on the telecommunications market with “no benefit” to consumers.The German broadband association Breko also said it “feared” the merger would lead to a reduction in competition at the expense of consumers and other firms, noting that households in many parts of Germany already have little if any choice for broadband or TV providers. Given the impact this transaction would have on competition, blanket approval of the deal by regulators would be “questionable”, said Breko. Instead, the deal should only be authorized under strict conditions, including the opening of Vodafone’s cable network to other operators at fair and non-discriminatory conditions.
