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BRIEF-ACCC Updates On Proposed Merger Between TPG And Vodafone

Published 13/12/2018, 10:46 am
© Reuters.  BRIEF-ACCC Updates On Proposed Merger Between TPG And Vodafone

Dec 13 (Reuters) - Australian Competition And Consumer Commission:

* UPDATES ON PROPOSED MERGER BETWEEN TPG AND VODAFONE

* EXPRESSED PRELIMINARY COMPETITION CONCERNS ABOUT PROPOSED MERGER BETWEEN TPG TELECOM & VODAFONE HUTCHISON AUSTRALIA

* PRELIMINARY VIEW THAT TPG IS CURRENTLY ON TRACK TO BECOME FOURTH MOBILE NETWORK OPERATOR IN AUSTRALIA

* ACCC INVITES SUBMISSIONS FROM INTERESTED PARTIES ON STATEMENT OF ISSUES BY 18 JANUARY 2019

* PRELIMINARY VIEW IS THAT TPG IS LIKELY TO BE AN AGGRESSIVE COMPETITOR

* PRELIMINARY VIEW IS MERGED TPG-VODAFONE WOULD NOT HAVE INCENTIVE TO OPERATE IN SAME WAY, COMPETITION IN MARKET WOULD BE REDUCED AS A RESULT

* WILL ALSO CLOSELY EXAMINE LIKELY IMPACT OF REMOVING VODAFONE AS A COMPETITOR IN FIXED BROADBAND MARKET

* IF TPG REMAINS SEPARATE FROM VODAFONE, IT APPEARS LIKELY TO NEED TO CONTINUE TO ADOPT AN AGGRESSIVE PRICING STRATEGY

* TO CONSIDER LONGER-TERM IMPACT OF PROPOSED MERGER IN RELATION TO INCREASED TAKE-UP OF MOBILE BROADBAND SERVICES IN PLACE OF FIXED HOME BROADBAND

* TO CONSIDER WHETHER OPERATORS WILL NEED TO OFFER BOTH MOBILE AND FIXED BROADBAND SERVICES IN LONGER-TERM TO REMAIN COMPETITIVE

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