The European Commission said the merger of Alcatel and Lucent "would not significantly impede effective competition in the European Economic Area." The commission added that the optical and DSLAM markets are the sectors that will be impacted by the merged company, but even so, the "structure of competition" within those markets will remain effective. In other words, things are already so competitive in the equipment sector, the merged entity won't have the power to undercut prices.

For more on the merger clearing the EU:
- read this article from Light Reading