Follow up – developments in the Deutsche Telekom plans concerning the new high-speed VDSL markets
am 21.12.2005 von http://mehrsprachigkeit.blogspot.com
Several months ago it was described on this website that the new German coalition government had undertaken not to regulate the new high-speed VDSL markets run by Deutsche Telekom. The idea of such exclusion was to encourage DT to invest in this new market. Almost simultaneously the European Commission received a notification from the German National Regulatory Authority (BNetzA) about their plans to grant DT regulatory holidays for such markets claiming that they were new emerging markets – VSDL was a new product and it was impossible to tell what services it might spawn; as a result this market was not caught by the EU regulatory framework in the area of electronic communications. It was also stressed that the Commission strongly disagreed with this reasoning and that it was unlikely that the decision of BNetzA would be accepted: since the Commission has powers to block BNetzA decisions there needed to be a compromise.
Just before the Commission goes onto Christmas holidays such a compromise seems to have been reached. BNetzA has undertaken to regulate parts of VDSL network after the Commission threatened to veto its decision to grant regulatory holidays to DT plans. Under the compromise, BNetzA would regulate parts of the VDSL network if services provided on it were in direct competition with services provided on the existing lines. However, services which are emerging markets in their true sense such as web-based television would for now be exempt from scrutiny.
This case probably best shows the key role the Commission plays …
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