Friday, October 21, 2005

Telecommunications: Competition watchdog to investigate Swisscom

Switzerland's competition watchdog - The Federal Competition Commission - will investigate broadband access pricing at telecommunications provider Swisscom. The former state monopoly, is suspected of favouring its Bluewin internet subsidiary over its competitors.

In 2003, it ordered the company to stop giving preferential discounts to Bluewin. The commission suspects the former state monopoly of abusing its dominant position and violating Swiss cartel law by charging higher wholesale prices and squeezing service providers' margins.