Competition Office probes Magyar Telekom, Telenor


Hungaryʼs Competition Office (GVH) said Thursday it had conducted unannounced on-site probes a day earlier at the headquarters of Magyar Telekom and Telenor Hungary, on suspicion of collusion between the two telcos in connection with a broadband frequency tender, state news agency MTI and other sources reported this morning.   

Telenor Hungaryʼs HQ in Törökbálint, on the western outskirts of the capital.

The GVH said it suspects the two telcos colluded in tenders for broadband spectrum licenses, according to reports. The office has six months in which to complete its investigation, but may extend this deadline twice by another six months each time, it added.

The office suspects that Magyar Telekom and Telenor Hungary reached agreements concerning the competitive tender announced and conducted by the National Media and Infocommunications Authority (NMHH) in 2014, aimed at granting frequency licenses for broadband services. It suspects that discussions between the two firms might have been aimed at dividing up the market affected by the tender ahead of time, as well as coordinating their submitted bids. Such conduct would be in breach of competition law and related EU provisions pertaining to the prohibition of agreements that restrict competition, the GVH stated.

At the same time, the office stressed that the launch of the procedure does not represent a declaration of actual wrongdoing, but is aimed at clarifying the facts and seeking proof of any alleged breach.

Magyar Telekom and Telenor Hungary each issued statements saying that they are cooperating with the GVH, but insisted they had not violated any rules.

Telenor Hungaryʼs parent issued a statement declaring that it will inform its shareholders of the procedure and its nature, assuring them of the legality of its conduct, but declined to comment further while the legal procedure is ongoing.

Magyar Telekom stated that it is, and has always been, in compliance with valid regulations and had not conducted any discussions with its rival regarding the 2014 frequency tender.


Gen Gov't Deficit to Reach 6.1% of GDP in 2022 - Varga Analysis

Gen Gov't Deficit to Reach 6.1% of GDP in 2022 - Varga

Horthy Statue to be Unveiled in Parliament Parliament

Horthy Statue to be Unveiled in Parliament

UPS Appoints Regional Director Appointments

UPS Appoints Regional Director

Completion of Metro Line M3 Renovation Delayed City

Completion of Metro Line M3 Renovation Delayed


Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.