July 18 2011
On February 17, 2011, the Court of Justice answered questions referred to it by the Stockholm District Court regarding an alleged abuse of dominance by Swedish telecommunications operator TeliaSonera Sverige AB on the wholesale market for ADSL products. The Court held that a margin squeeze could be abusive even though the dominant undertaking might not be under a duty to supply the wholesale input.
TeliaSonera, the former monopolist operator of the Swedish fixed telephone network, provides retail broadband services as well as (non-essential) wholesale access to its network via local loop or input for ADSL connections. In 2004 the Swedish Competition Authority found that TeliaSonera had abused its dominant position as the operator of the national fixed telephone network through an anticompetitive margin squeeze, setting the wholesale price for input ADSL products and retail price for DSL services at a level that would have been insufficient to cover its incremental costs on the retail market. The SCA requested that the Stockholm District Court order TeliaSonera to pay an administrative fine of SEK 144 million (approximately