12:51 15.01.2021

Datagroup's concentration of 100% of Volia to lead to higher prices for telecom services – association

2 min read
Datagroup's concentration of 100% of Volia to lead to higher prices for telecom services – association

The Ukrainian Internet Association asks the Antimonopoly Committee of Ukraine (AMCU) not to consider the issue of Datagroup's concentration of 100% of the Volia Group of Companies under a simplified procedure, since such actions may lead to a new entity gaining the opportunity to control the inter-operator telecom market.

"We fully share the position of Lanet Network LLC and other members of the association that, as a result of concentration, a new business entity will be able to control the inter-operator telecom market [...] This, in our opinion, will inevitably lead to an increase in the cost of telecommunications services, both for legal entities and individuals, and will also give an opportunity to the entity again to dictate the conditions of activity in the telecom markets for other participants," according to the association's public appeal to the AMCU.

According to the Ukrainian Internet Association, consideration of the issue of Datagroup's concentration of 100% Volia under a simplified procedure will lead to a superficial, biased and incomplete study of the state of the Internet access markets and access to TV packages, since the interests of all market participants whose activities will be affected will not be taken into account due to concentration.

The association asks the head of the AMCU to involve other market participants in the case of concentration, in particular those whose interests may be affected by the consequences of such concentration (including Lanet), as well as the association itself, as an entity uniting a large number of participants of telecom market of Ukraine.

As reported, the Datagroup national operator of fixed communications and digital services has reached an agreement to acquire 100% of the national provider of telecommunications and content services of Volia group of companies (formerly Volia Kabel). Datagroup has reached the agreement on the acquisition of 100% of the Volia group of companies in Ukraine with the full support of the EEGF II Horizon Capital Fund.

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