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Technology Stocks : The *NEW* Frank Coluccio Technology Forum
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From: Frank A. Coluccio6/15/2007 5:22:32 AM
   of 46821
 
Teliasonera fixed line network proposed to be separated out - Swedish regulator

June 14, 2007 | Forbes

forbes.com

STOCKHOLM (Thomson Financial) - Sweden's Post and Telecoms regulator PTS said it has proposed that TeliaSonera AB be forced to break up its business, with its Swedish fixed-line network placed in a different unit from the rest of the organization.

PTS's suggested model is not dissimilar to that under which the UK phone company BT operates, with a semi-detached unit to handle wholesale activities.

The head of PTS, Marianne Treschow, said the current system, in which Telia Sonera negotiates with other operators to give them access to its network 'isn't working'.

The system has led to repeated court cases between TeliaSonera and other operators, notably Tele2.

'And when the buyer-seller relationship is not working, it damages Sweden as an IT nation, and leads to us falling behind our neighbours,' she said.

The proposal, published in a report commissioned by the Swedish government, will now be considered by the government over the summer.

PTS said it expects the measures to be passed into law by January 1st 2008, but to take some time before being fully implemented.

Tele2 said in a statement that it welcomes the proposal.

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