Cesky fined over abuse of dominant position

11 Apr 2006

Czech incumbent fixed line operator Cesky Telecom has been fined CZK205 million (USD8.68 million) for abusing its dominant position in the market, according to a statement from the country’s anti-monopoly office (UOHS). The UOHS ruled that Cesky’s policy of offering pricing programmes with call credits or free minutes from 2002 prevented its customers from changing operators. Clients had to pay Cesky Telecom a flat charge even though they were using the services of alternative operators, but as they had been given free minutes, they did not want to lose them and did not use services of their alternative service provider as a result. The fine levied on Cesky is the second highest in UOHS history and not the first it has received. In March, the UOHS confirmed a CZK80 million fine against the incumbent, again the result of the abuse of its dominant position.

Czech Republic, O2 Czech Republic (incl. CETIN)