Taiwan’s communications regulator has reportedly told local device maker Foxconn to resubmit merger plans for its two mobile operators over concerns about their intended roaming deal.
That deal would see the merged group, combining Ambit Microsystems…
Taiwan’s communications regulator has reportedly told local device maker Foxconn to resubmit merger plans for its two mobile operators over concerns about their intended roaming deal.
That deal would see the merged group, combining Ambit Microsystems with Asia Pacific Telecom (APT), use Taiwan Mobile’s network to expand its coverage area.
However, the National Communications Commission is investigating claims that the arrangement is being used to avoid building base stations it said it would in the merger proposal, reported the Taipei Times citing a regulatory official.
There are also reportedly legal implications if customers of the merged company and Taiwan Mobile are charged different rates to access the same network.
In 2014, Taiwan Mobile bought a 14.9% in Ambit and a 5 MHz chunk of its spectrum, which it obtained in 2013 as Foxconn started to diversify away from its manufacturing business.
Later that year, Foxconn spent US$387m on a stake in Asia Pacific Telecom, which will be the surviving company after its share swap with Ambit.