Court upholds Swisscom fine on ADSL pricing

2 Jan 2020

Switzerland’s Federal Supreme Court has rejected an appeal from state-owned fixed line incumbent Swisscom against a 2009 antitrust ruling related to the company’s ADSL pricing policy, confirming a fine of CHF186 million (USD192 million). The fine was originally set at CHF220 million by the Competition Commission (Wettbewerbskommission, WEKO) in 2009, when it found that the prices set by Swisscom for its wholesale ADSL services from 2001 to 2007 were too high for its competitors to offer retail ADSL services profitably. In September 2015 the Federal Administrative Court rejected a subsequent appeal from Swisscom but lowered the fine to CHF186 million.

Responding to the court’s decision, Swisscom stated in a press release that it maintains that the sanction is unjustified. The telco adds that it had to pay the penalty back in 2015 and as such the court’s most recent decision will have no impact on Swisscom’s 2019 financial statements, or its outlook for 2020.

Switzerland, Swisscom