EU to fine Wanadoo over low prices

9 Jul 2003

France Télécom’s internet arm Wanadoo is set to receive a fine from the European Commission for keeping its prices artificially low between March 2001 and October 2002. The fine, due to be handed down next week, is expected to be of a similar level to the EUR12.6 million fine imposed on Deutsche Telekom for a similar offence in May. Brussels has said that it accepts that Wanadoo has changed its behaviour, but continues to be concerned that it is freezing out competitors such as AOL, Tiscali and T-Online; Wanadoo held a 63% share of the French broadband market at the end of June 2003. The EC has said that it will monitor Wanadoo until the end of 2006 to make sure it does not re-offend.