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Serious misrepresentations by Landsímans

5th April 2000
Snowcap Mountain

A news article published on the back page of Morgunblaðið today claims that the Competition Authority is requesting an increase in Landssíminn's GSM capacity in connection with a complaint from Frjáls fjarskipti. The article and comments attributed to a spokesperson for Landssíminn contain serious misrepresentations. The Competition Authority considers it necessary to make the following observations:

The Competition Authority has not issued any instructions or recommendations to Landssíminn to increase the so-called GSM surcharge in the case of Frjáls fjarskipti, as that case is still ongoing.

The Competition Authority received a submission from Frjálsar fjarskiptir hf. in February. requiring that, under competition law, the GSM division of Landssíminn be obliged to offer those subscribers who call abroad via the international gateway of Landssíminn's competitors the same terms as those offered when calling abroad via Landssíminn. The company pointed out that when calling abroad from a Landssíminn GSM phone via Frjálsir fjarskipti, a surcharge of 13-18 kr. per minute is added on top of the usual cost of the call. However, when calling abroad through Landssíminn's international gateway, only an additional 7.47 kr. per minute was added. Frjáls Farskipti considers this to be anti-competitive and gross discrimination between Landssíminn's international telephone service and its own.

Press release in PDF format (PDF document – Opens in a new window).

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