Liberty Global’s UPC has signed an agreement with Hutchison Austria to launch an MVNO on Hutchison’s network in the country.
The move is significant because Hutchison has repeatedly argued that allowing MVNOs to operate on its network would address…
Liberty Global’s UPC has signed an agreement with Hutchison Austria to launch an MVNO on Hutchison’s network in the country.
The move is significant because Hutchison has repeatedly argued that allowing MVNOs to operate on its network would address anti-competitive concerns raised by regulators with regards to its proposed €1.3bn merger with Orange Austria.
Today’s agreement underlines that there is interest from virtual operators to take Hutchison up on the offer.
Hutchison formally submitted remedies to the EC weeks ago, including guarantees to grant MVNOs access to its network on favourable terms. But this has not stopped the agency from issuing a statement of objections (SO) in late September.
In the SO, the EC detailed why it intends to prohibit the proposed transaction if no remedies can be found that are seen as sufficient to address its concerns.
Hearing in Brussels Wednesday
The agreement with UPC comes shortly before an oral hearing to take place in Brussels on Wednesday. According to a person close to the matter, the hearing will be attended by the merging parties, representatives of the EC and European Union member states, as well as third parties including complainants. UPC is expected to speak in favour of the transaction, while T-Mobile Austria might attend as complainant.
Hutchison said in a statement today that the agreement signed with UPC was based on conditions in line with those offered to the European Commission as formalised remedies. The deal with UPC is conditional upon closing of the merger.
The EC investigation has a 30 November deadline.
