CNMC will give Telefonica greater flexibility in commercial fibre supply

The National Commission on Markets and Competition (CNMC) exempts companies from the obligation to notify the launch of new products or promotions before entering the market.

The organisation has published a public consultation on updating its methodology, which analyses whether fiber optic offers from telephone They can be replicated by other operators, and in this context he proposed a new approach that would give the company “greater flexibility” in developing its commercial offer, given that until now it had been subject to certain obligations, Europa Press reports.

The current replicability test methodology sets different criteria to determine whether the prices Telefonica charges alternative operators for wholesale fibre offers allow competition in areas where competition is lower, the regulator explained in a statement.

Thus, Telefónica is free to set wholesale prices, the only condition being that they pass the replicability test.which assesses whether NEBA and NEBA local fibre optic service prices comply with this requirement or not.

To do this, the CNMC assesses whether an “effective alternative operator” using these services is capable of offering retail broadband products at prices and features similar to Telefónica’s products.

In this context, The CNMC is now proposing a new approach that aims to make the reproducibility test more flexible and adapt it to changes in legislation. especially the “Gigabit Network Guidelines” published by the European Commission this year.

Among the updates proposed by the regulator is that the new analysis methodology will be carried out on a portfolio of “symbolic” products and that reproducibility will be assessed “in an aggregated manner”.

“Each of Telefonica’s iconic products is now individually tested. CThe new approach will give Telefonica greater flexibility in developing its commercial offer.

“, the department emphasized.

The CNMC therefore proposes that the time limit that existed for promotions related to “premium” sports content, set at two-thirds of the season, has been eliminatedwhich will allow the telecommunications company, headed by José María Álvarez-Pallete and in which the state owns 10% set the same promotion period as for other products.

It was also suggested simplify the calculation of the parameter corresponding to commercial costswhich will be set at a fixed cost and will reduce Telefonica’s information obligations, which are already You will not have to notify CNMC of new product launches or promotions before they hit the market.which will give the company “greater flexibility in changing its commercial catalogue.”

“During the public consultation, the parameters for calculating the net present value (NPV) are also being clarified. Based on these parameters and taking into account the proposed changes, it has been established that the prices for NEBA local and NEBA fibres meet the replicability condition,” the CNMC added.

The regulator said those interested in the public consultation process would have to submit their responses by August 16.