Romania’s Competition Council starts probe on Bucharest’s fiber optics network owner

11 May 2016

Romania’s Competition Council has started an investigation on the possible use of dominant position by NetCity Telecom, the company that operates Bucharest’s underground fiber optics network.

The inspectors carried out controls at NetCity’s headquarters taking several documents. According to the Competition Council, NetCity may have applied a discriminatory conduct in granting access to its infrastructure.

The company is the concessioner of the NetCity network based on a 49-year contract signed in 2008 by the Bucharest City Hall, UTI group, and NetCity Telecom.

According to the Competition Council’s preliminary report from March 2015, other companies that own fiber optics infrastructure, galleries, or networks in Bucharest don’t represent real alternatives to the NetCity network. The competition watchdog concluded that NetCity had a monopoly in Bucharest and recommended the company to “stay away from abusive practices”.

NetCity representatives announced that they would cooperate with the Competition Council’s investigation. They also said that the company has presented documents and photo evidence which showed that its network only covered 10% of Bucharest’s area and that it had only 2.5% of the market.

NetCity representatives claim that the aerial cable networks in Bucharest have been built without permits and have been distorting competition.

Two Romanian investors want to take over fiber optics network

editor@romania-insider.com

Normal

Romania’s Competition Council starts probe on Bucharest’s fiber optics network owner

11 May 2016

Romania’s Competition Council has started an investigation on the possible use of dominant position by NetCity Telecom, the company that operates Bucharest’s underground fiber optics network.

The inspectors carried out controls at NetCity’s headquarters taking several documents. According to the Competition Council, NetCity may have applied a discriminatory conduct in granting access to its infrastructure.

The company is the concessioner of the NetCity network based on a 49-year contract signed in 2008 by the Bucharest City Hall, UTI group, and NetCity Telecom.

According to the Competition Council’s preliminary report from March 2015, other companies that own fiber optics infrastructure, galleries, or networks in Bucharest don’t represent real alternatives to the NetCity network. The competition watchdog concluded that NetCity had a monopoly in Bucharest and recommended the company to “stay away from abusive practices”.

NetCity representatives announced that they would cooperate with the Competition Council’s investigation. They also said that the company has presented documents and photo evidence which showed that its network only covered 10% of Bucharest’s area and that it had only 2.5% of the market.

NetCity representatives claim that the aerial cable networks in Bucharest have been built without permits and have been distorting competition.

Two Romanian investors want to take over fiber optics network

editor@romania-insider.com

Normal
 

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