Orange-MasMovil JV under Scrutiny of European Commission

The European Commission (EC) has pushed for an in-depth investigation into the proposed creation of Joint Venture (JV) by Orange S.A. (Orange) and MasMovil Ibercom S.A. (MasMovil). Orange and MasMovil are the second and fourth largest telecom operators, respectively, at retail and wholesale level for fixed broadband and mobile services in Spain. Apart from them, there are only two other mobile network operators active in Spain. The EC’s preliminary concerns are – that they are close competitors and that the transaction would reduce the number of network operators in Spain; thus could lead to higher prices and lower quality of telecom services.