The Luxembourg Competition Authority finds the 'Integral' multi-product rebates scheme of Post Luxembourg to breach Article 102 TFEU
In the case 2014-FO-07, Télécommunication , the Luxembourg Competition Authority (LCA) examined a multi-product rebates scheme implemented by the former Luxembourg telecommunication monopolist, Post Luxembourg (PL). By its 'Integral' package PL committed to apply lower fares for clients that subscribed in the same time to its mobile telephony, fixed telephony and broadband Internet services altogether. The LCA found that such scheme breached Article 102 TFEU and the corresponding Article 5 of the Luxembourg Competition Act and imposed a Euro 2.5 million fine on PL. The LCA followed the effects-based approach set out by the European Commission in its Guidelines on the application of Article 102 TFEU with regard to the tying and bundling practices. First, the LCA found two tying markets in the retail markets for access to fixed telephony and broadband Internet services, both dominated by PL, and a tied market in the more competitive retail market for mobile telephone servi...