Comco qualified Swisscom Mobile as dominant, because Swisscom Mobile is not exposed to significant competitive pressure from consumer markets. For the competitors Orange and Sunrise the indications of dominant positions were not confirmed. This was essentially due to the considerably weaker position in the consumer markets and the late market entry of Orange and Sunrise in 1998/99.

Concerning the adequacy of the termination charge of  Swisscom Mobile Comco relied on benchmark prices and termination costs in comparable markets abroad. Comco concluded that the termination charge of Swisscom Mobile was unfairly high and that Swisscom Mobile thereby exploited the consumers of other telecommunications operators.

The sanction of 333'365'685 Francs results from the severity and type of the violation. The fact that Swisscom Mobile achieved very high benefits from the violation was considered as an aggravating factor for the calculation of the fine.

The starting position for the investigation opened in November 2002 against Swisscom Mobile, Sunrise und Orange were high termination charges in Switzerland compared to other European countries. As the termination charges significantly sank from 1 June 2005 this decision concerns the time up to 31 Mai 2005. The market conditions after this term are subject of an ongoing investigation.

Summary of the decision in German and French is available at www.comco.ch

Address for enquiries:

Prof. Dr. Walter Stoffel
079 436 81 49

Dr. Rafael Corazza
031 322 20 41
079 652 49 57

Dr. Patrik Ducrey
031 324 96 78
079 345 01 44
patrik.ducrey@weko.admin.ch

Publisher:

Competition Commission

Internet: http://www.weko.admin.ch/