Swiss perspectives in 10 languages

Competition watchdog takes closer look at Sunrise-UPC deal

logo
Sunrise, who is to buy UPC for CHF6.3 billion, expects the deal to go through in Autumn. Manuel Lopez

COMCO, the Swiss Competition Commission, is to intensify its investigation of telecoms operator Sunrise’s takeover of UPC Switzerland, amid fears that the move could create positions of market dominance in several areas. 

Making the announcementExternal link Monday, COMCO wrote that “initial investigations showed that the buyout could create or reinforce a dominant position” in several markets, such as the broadcast rights of sporting events, as well as the market for the IP interconnectionExternal link of Sunrise and UPC clients.

The inquiry will be carried out within the legal timeframe of four months, which means a decision by early October at the latest. 

In a press releaseExternal link, Sunrise said that the intensified scrutiny was not a surprise. It nevertheless expects the deal to be approved, since, as it wrote, “the takeover of UPC Switzerland will intensify competition in the telecommunications market”. 

Sunrise confirmed in February this year it was in advanced negotiations to buy UPC from current owner Liberty Global for a total of CHF6.3 billion ($6.3 billion), thus tying together two of the four telecoms operators in Switzerland’s crowded market. 

The takeover would create a major competitor to state-controlled Swisscom, the biggest telecoms company in the country with CHF11.7 billion in revenue and 6.6 million mobile phone customers in 2017, out of a population of 8.4 million. 

Sunrise, by contrast, had a total of 3.4 million customers in 2017, including 2.4 million mobile phone customers, and revenue of CHF1.85 billion francs.  

UPC, meanwhile, had about 1.1 million TV customers amid falling subscriptions, and 138,000 mobile phone clients in Switzerland, company documents show.  

Popular Stories

Most Discussed

News

Beer sales dampened by bad weather

More

Beer sales in Switzerland watered down by bad weather

This content was published on The past brewing year fell through in Switzerland, partly due to the bad weather. Beer sales shrank again. For the first time, per capita consumption fell below the 50 liter mark.

Read more: Beer sales in Switzerland watered down by bad weather

In compliance with the JTI standards

More: SWI swissinfo.ch certified by the Journalism Trust Initiative

You can find an overview of ongoing debates with our journalists here . Please join us!

If you want to start a conversation about a topic raised in this article or want to report factual errors, email us at english@swissinfo.ch.

SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR

SWI swissinfo.ch - a branch of Swiss Broadcasting Corporation SRG SSR