The Australian Competition Tribunal has denied authorisation for the proposed regional spectrum authorisation arrangements between Telstra nd TPG Telecom.
The Tribunal denied authorisation because it was not satisfied that the proposed arrangements were not likely to have the effect of a substantial lessening of competition or that the benefit to the public likely to result would outweigh the detriment.
The Tribunal noted that the proposed arrangements would give Telstra substantial benefits and increase its market strength on the retail and wholesale mobile markets, and would undermine Optus’ incentives to invest in 5G technology. Over time, this would weaken the competitive constraint on Telstra, and lead to increased prices and margins.
Source: Australian Competition Tribunal
