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Liberty Global and Telefónica merger still on after regulatory concerns

The General Court of the EU overruled the European Commission’s move to block the deal between Telefónica UK (O2) and Hutchison 3G UK (Three) on anti-competitive grounds.

“The Commission’s application of the assessment criteria of the so-called ‘unilateral’ effects – namely, the concept of ‘important competitive force’, the closeness of competition between Three and O2 and the quantitative analysis of the effects of the concentration on prices – is vitiated by several errors of law and of assessment.”
General Court of the EU Press Release

This ruling clears a legal hurdle for Telefonica and Liberty Global’s JV between their O2 and Virgin Media businesses. The planned merger will help encourage the buildout of 5G technology, a major objective of European leaders.


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