Page 128 - SAMENA Trends - February 2020

REGULATORY & POLICY UPDATES SAMENA TRENDS

Armenian Antitrust Regulator Assesses Ucom’s Bid for VEON Armenia

The State Commission for Protection the takeover. Gevorgyan admitted by TeleGeography’s CommsUpdate, PSRC official
of Economic Competition of the to concerns over how the takeover Liana Azizyan confirmed that an application had been
Republic of Armenia (SCPEC) has could impact the domestic market, submitted in late-December and that according to the
begun the process of considering given that both Beeline and Ucom current procedure, [this] should be discussed with all
Ucom’s application to take over are dominant forces in the fixed competent authorities. Subsequently, a statement
larger rival VEON Armenia (trading and mobile segments, and said that from VEON Ltd dated 15 January read: ‘VEON … has
as Beeline). Arka News reports that SCPEC is keen to avoid a monopoly noted recent media comments concerning a potential
SCPEC met on 11 February to initiate position developing. He did, however, sale of VEON’s business in Armenia and confirms that it
discussions on the application, with suggest that the antitrust agency has entered into discussions with Ucom LLC regarding
Chairman Gegham Gevorgyan noting could ‘decide to give a partial such a potential transaction. These discussions
that sessions are behind closed permission for the sale, for example, may or may not result in a transaction. VEON will
doors because of the commercial excluding the fixed telephony communicate material updates, if any, in accordance
sensitivity of the subject. Gevorgyan network’, but if so, ‘both companies’ with regulatory requirements.’
said that the commission is consent will be needed to conclude
discussing various aspects ‘from the the deal’. One other alternative
share at the market to the number might include a condition that Ucom
of customers and the change would have to divest ‘a part of [its]
dynamics’, adding that he has tasked services to another operator, or to
the Public Services Regulatory propose the companies to use some
Commission (PSRC), the State infrastructures jointly’ he said. The
Revenue Committee and the National antitrust agency has 90 days from
Radio and Television Committee to the submission of the application
provide all ‘appropriate information’ (30 December 2019) to consider the
to fully consider the ramifications of application. As previously reported

EC Adds 5G to List of Qualcomm Gripes

Qualcomm revealed it was the subject of market to gain an unfair advantage in Qualcomm faced EC scrutiny, with huge
a European Commission (EC) competition selling RF front-end kit. Qualcomm said fines levied on the company in the last two
investigation related to the sale of 5G it was in the process of responding to the years, though these are being appealed.
equipment, with a potential penalty of 10 request, but emphasized it believes its In 2019, it was penalized €242 million for
per cent of annual revenue or business business practices do not violate European breaches related to 3G technology dating
restrictions if found guilty. Alongside its Union competition rules. In a stock market back to 2010 and was also hit with a
latest financial report, the company said filing it added “it is difficult to predict the massive €997 million charge following an
it received a request for information from outcome of this matter or what remedies, investigation into its dealings with Apple.
the EC as part of an ongoing probe into if any, may be imposed by the EC,” adding Qualcomm maintains its innocence in both
whether Qualcomm misused its market a sizeable fine or injunctions on activities cases.
position in the 5G baseband processor could be imposed. This is not the first time

US Raises USD 7.6 Billion in Auction of 37, 39, 47 GHz Bands for 5G

The US FCC announced it’s completed the in the auction. The winners will be known particularly advanced for the 39 GHz band.
auction of the upper 37 GHz, 39 GHz and 47 after a second round of bidding on specific AT&T is expected to use the 39 GHz band
GHz bands, which started on 10 December frequency blocks in the assignment phase to boost its 5G coverage in urban areas.
2019. The auction of 5G spectrum attracted of the auction. US operators, as well as The company lost out in a bidding war in
total bids of USD 7.56 billion, and bidders vendors such as Ericsson, Intel, Nokia 2018 with Verizon to acquire significant
won 99.9 percent of the licenses on offer. A and Huawei, have already been testing holdings in the range with the company
total of 35 companies qualified for bidding these bands for 5G services, with plans Straight Path.

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