The Competition Commission has recommended the prohibiting of the proposed move by Vodacom merge with fibre firm Maziv.
The Competition Commission has recommended the prohibiting of the proposed move by Vodacom merge with Maziv, a newly-created company that owns fibre network operators Vumatel and Dark Fibre Africa .
In a statement today, the CompCom says the public interest commitments provided by the merger parties do not outweigh the competition concerns.According to the CompCom, the proposed merger combines one of South Africa’s largest fibre infrastructure players, Maziv, and South Africa’s largest mobile operator, Vodacom.
Importantly, the regulator says the proposed merger is also likely to result in the prevention or lessening of future competition in relation to fibre and 5G FWA. In addition, it states that the evidence shows that fibre exerts a constraint on the extent to which mobile operators can set prices for mobile data more generally. The merger will reduce this constraint, the regulator says.
“Importantly, there are no significant benefits arising from the proposed merger that are not already independently planned prior to the merger or not already in place. Moreover, the supposed benefits of Maziv’s open access regime have not been universally confirmed by the investigation; instead, evidence and allegations of self-preferencing behaviour and discriminatory pricing have arisen.”
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
CompCom 'punishing' successful online companies - TechCentralThe Free Market Foundation has accused the Competition Commission of “punishing” online firms for being successful.
Read more »
Eskom accused of colluding with municipality to block solar power plantsThe Democratic Alliance says Eskom and Mafube municipality are colluding to block Frankfort residents from using their own solar power plant.
Read more »
Russian strikes on east Ukraine residential block kills at least 7Pokrovsk sits just 40 kilometres (25 miles) from the eastern frontline, where Moscow says it is gaining ground and repelling Ukrainian attacks.
Read more »
Barca 'Block' Dembele Move To PSG | Soccer Laduma👀 Barcelona are reportedly intentionally standing in the way of Ousmane Dembele completing his proposed move to Paris Saint-Germain. SLInt MORE:
Read more »
SA fibre operators hit by dual submarine cable break.OpenserveZA moves to divert traffic after dual submarine cable break. bbinfraco WestAfricaCableSystem connectivity networking
Read more »
South African fibre veterans launch United States expansion planA major South African fibre player has partnered with over 100 investors to take on one of the biggest markets in the world.
Read more »