Britain: The 'Vodafone' and 'Thrie' agreement can harm the Mobile Services market
The UK has warned that the merger ‘vodafone’ and the ‘three’ company of $ 15 billion ($ 19.7 billion) could undermine the investment and lead to possible price increases, but it did not close the door for completion. The British Competition and Markets Authority (CMA) said on Friday that it revealed problems in the agreement, especially with regard to high prices and reducing the service level to customers. However, she has seen that the merger can contribute to improving the quality of mobile networks. The agreement with CK Hutchison Holdings owned by the “Lee” family, the billionaire of Hong Kong, includes the merger of the two smallest companies among the four companies operating mobile networks in the UK, to form the largest company in terms of revenue in a market witness of a fierce competition. Karen Igan of Enders Analysis said that the competition of the competition authority mainly giving green light to merge. She indicated that the possible damage to the prices is ‘slight’, and that the proposed solutions can easily implement it. The British government requests solutions that the commission has now asked ‘Vodafone’ to provide solutions to eliminate these concerns before making his final decision on December 7. Meanwhile, Vodafone’s shares have not yet seen a major change at 8:15 in London. Although the government said the agreement could improve the quality of mobile networks and accelerate the deployment of the fifth generation networks, it expressed its fear that the two businesses may not have the sufficient motivation to implement the investments they promised after integration. The government proposed in the results was closed by a number of solutions to address fear, such as the two businesses’ commitment to their investment goals and not raising prices on customers. I also suggested that a united sentencing prices be accepted to ensure that virtual network operators receive reasonable prices. The government indicated that the fourth operator of cell phones “may not be effective” to address competition issues. ‘Thrie’ failed at an attempt to obtain it on the “O2” business (O2) in 2016 because of the rejection of the relevant organizational body in the European Union for the agreement before Britain’s exit from the Union. One of the main reasons for rejection was that the agreement reduced the number of mobile operators in the UK from four to three, which is the same scenario as the Vodafone and Thrie transaction is launched. ‘Vodafone’ and ‘Thrie’ said in a joint statement that they interviewed ‘an interview with a number of elements’ in the results of the government, and emphasized that the integration’ would address the defect in the mobile market in the UK and stimulate more competition and investment. “Communications in Europe have problems with achieving returns on their investments, and must give them green light through integration, according to the week’s report of former European Central Bank, Mario Draghi, who made recommendations to maintain the competitiveness of the European Union. of Brittain, but they have the same concerns in the face of “OpenSignal”. Keep with the rise in prices, discussed by the two companies, the increase will be woven a few monthly, and in no way exceed the potential benefits of building the network the country needs. “