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Watchdog takes Swisscom case to Federal Court

The Federal Competition Commission says it will appeal against a court decision overturning a heavy fine imposed on telecommunications market leader Swisscom.

The commission (Comco) had ordered Swisscom Mobile to pay more than SFr333 million ($314 million) for what it considered abuse of the pricing of broadband services.

It was the highest fine in the history of Swiss cartel legislation but was rejected earlier this month by the Federal Administrative Court after Swisscom lodged an appeal.

Switzerland’s highest instance, the Federal Court in Lausanne, will now have to deal with the case.

Comco argued when handing down the fine that Swisscom Mobile’s market position had been “dominant” and the company had not been exposed to significant competitive pressure from consumer markets.

It argued that the former monopoly abused its market position and imposed too high prices on competitors Sunrise and Orange.

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