European Union antitrust regulators have opened an investigation into Deutsche Telekom’s role in alleged market fixing by its Slovakian subsidiary.
The European Commission states the probe will establish whether the German incumbent played a part in suspected infringements of broadband internet access rules by Slovak Telekom, as part of an investigation opened in April 2009.
It revealed it has “gathered evidence” regarding the relationship between Deutsche Telekom and its subsidiary, and will now seek to “assess the degree of involvement of Deutsche Telekom in the activities of its Slovak subsidiary.”
Deutsche Telekom owns 51% of Slovak Telekom which is being investigated for abusing its dominant position in the market.
The EC suspects Slovak Telekom of abusing its incumbent status by refusing to supply broadband connections to rivals, and by squeezing or tying margins.
Deutsche Telekom spokesman Andreas Middel told Bloomberg the firm is puzzled by the expansion of the probe, stating that it has communicated closely with the EC since the investigation was opened.