registration document France Telecom 2009 - Orange.com

overview of the Group’s Business
6
OVERVIEW OF BUSINESS
Belgium
regulators. Based on this decision, Mobistar’s license has been
extended until November 2015.
In December 2009, the IBPT launched two successive
consultations regarding a draft law that would defi ne the
methodology for spectrum fee in case of initial licenses and
license renewal, as well as a draft Royal decree on 2G renewal,
4 th mobile network operator’s conditions and 2.6 GHz spectrum
allocation.
Competition
In May 2009, the Competition Council fi ned Belgacom Mobile
66 million euros for abuse of its dominant position by squeezing
prices on mobile market in 2004 and 2005.
Mobistar has appealed this decision and requested the Court
of Appeal to annul it mainly because it rejected the grounds
of abuse of dominant position against Belgacom Mobile
concerning the loyalty discounts during the years 2002-2005,
discrimination on-net / off-net for the period 2002-2005 and
margin squeeze for the years 2002-2003. Belgacom Mobile
and KPN Group Belgium have also appealed that decision.
Following the Competition Council decision, several operators
among which Mobistar have also claimed damages for
compensation to Belgacom Mobile because of its abuses before
the commercial court. Concerning the damage claim procedure
lodged by KPN Group Belgium against Belgacom Mobile, the
legal experts designated by the commercial court, issued a
draft report in October 2009. This draft report confi rmed the
abuse of the dominant position of Belgacom Mobile during the
years 1999 – 2004 and the damages suffered by both KPN and
Mobistar. It evaluated the damages for both parties together to
be 1.18 billion euros. The parties have to communicate their
comments to the experts that will have to fi nalize their report
and send back the fi le to the Court.
Mobile Call Termination Rates
In June 2009, the Court of Appeal annulled the MTR levels
defi ned by the IBPT for the years 2006 and 2007, as well as a
complementary IBPT decision dated December 2007.
In February 2010, the IBPT issued for consultation until March
2010 a glide path which provides for yearly MTR decreases to
reach 1.07 euro cent/min for all operators in January 2013.
The draft decision anticipates that the rate changes will become
effective on July 1, 2010.
6
euro cent /min Rate 2009 2010 1/2011 1/2012 1/2013
Proximus 7.20 4.45 3.77 2.42 1.07
Mobistar 9.02 4.86 4.10 2.59 1.07
Base 11.43 5.60 4.69 2.88 1.07
Rates are given in constant euros and will be infl ation-adjusted each year.
Regulation of Fixed-Line Telephony and Broadband Internet
Z KEY EVENTS
April 14
Broadband: IBPT consultation on a study made by Analysys Mason & Hogan & Hartson on the broadband
competition landscape in Belgium.
April 16
Competition: Mobistar and KPN complaint for abuse of dominant position against Belgacom before the European
Commission.
May 7
Market analysis on wholesale broadband: Partial annulment by the Court of Appeal of the IBPT decision
on markets 11 & 12/2003.
May 18
Fiber & NGAs: t he IBPT launched a consultation on the actions to be launched to stimulate the roll-out of the fi ber
to the home network in Belgium.
August 21 Market analysis on wholesale broadband: t he EC endorsed IBPT’s proposal to retroactively restore regulation
in the markets for wholesale access to telecoms infrastructure and broadband services.
September 2 Market analysis on wholesale broadband: the IBPT adopted a retroactive decision for markets 11 and 12/2003.
September 30 VDSL: t he IBPT adopted a decision on the qualitative aspects of the new wholesale bitstream access offer, VDSL2.
February 9, 2010 Local loop Unbundling tariffs: IBPT draft decision on new tariffs.
Broadband
In April 2009, IBPT launched a consultation on a study made
by Analysys Mason & Hogan & Hartson on the broadband
competition landscape in Belgium. The study highlights the
need for quick and stronger regulation to improve competition
conditions.
Competition
In April 2009, Mobistar lodged, together with KPN, a complaint
for abuse of dominant position against Belgacom before the
European Commission. It relates to abuses made by Belgacom
on the operational and technical implementation of wholesale
broadband access. This claim is under investigation.
2009 REGISTRATION DOCUMENT / FRANCE TELECOM
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