ArmenTel fined USD1m for abusing dominant position in broadband market

31 Jul 2008

According to a report from the online news portal ArmeniaLiberty, Armenian fixed line incumbent ArmenTel has been fined AMD300 million (USD1 million) by state anti-trust regulators for allegedly trying to put rival ISPs out of business. The fine relates to the telco’s recent launch of a high speed broadband internet service offering end users internet access at a much lower cost. However, ArmenTel’s rivals claim the incumbent is barring them access to its facilities to provide a similar service and last month submitted a complaint to the State Commission for the Protection of Economic Competition (SCPEC). The commission upheld their complaint and gave ArmenTel 15 days to rectify the situation, but in the wake of its non-compliance, has fined the operator for abusing its dominant position in order to gain unfair advantage over competitors. ArmenTel has denied any wrongdoing and is expected to launch an appeal.

Armenia, Team Telecom Armenia (formerly Beeline)