Polish telecoms firm fined for abuse of dominance

The Commission has imposed a fine of EUR 127.5 million on Polish telecoms operator Telekomunikacja Polska S.A (TP) for an abuse of its dominant position on Polish broadband markets over a four year period, contrary to Article 102 TFEU.

As it is not normally economically viable to build alternative access networks in order to provide broadband internet to end users, new alternative operators are typically reliant on being able to use the network of the incumbent operator, in this case TP. In order to use the incumbent's network and therefore compete on the retail market, operators need to acquire wholesale broadband access products (i.e. wholesale broadband access and local loop unbundling) and in Poland these are exclusively provided by TP.  

The Commission found that TP deliberately sought to limit competition on the broadband markets in Poland by placing obstacles in the way of alternative operators by, for example, proposing unreasonable conditions, delaying negotiations, rejecting orders without justification and refusing to provide accurate and reliable information to alternative operators.  

The Commission’s investigation concluded that together, these practices prevented effective competition and constituted an abuse of a dominant position on the Polish broadband market.