Telmex fined USD3.7m for monopolistic practices

1 Oct 2014

Mexican telecoms regulator the Instituto Federal de Telecomunicaciones (Ifetel) has fined America Movil (AM)-owned Telmex for monopolistic practices in the long-distance call termination market. As such, the watchdog imposed a fine of MXN49.32 million (USD3.66 million) on the incumbent, bringing to an end an investigation that was initiated by Mexico’s Comision Federal de Competencia (CFC) in May 2011.

Ifetel’s final decision upheld a complaint from rival operator Axtel, which had accused Telmex of failing to respond to interconnection requests; denying it information regarding the location of its central offices; and playing recorded messages to Axtel users warning them of the possibility that their service could be suspended. The financial penalty represents the maximum fine allowed by law.