MVNO Reference Offer.

MVNO Access at guaranteed conditions and time lines.

Drei made commitments to the European Commission in order to enable the Commission to approve the acquisition of former Orange Austria by Drei under the EU Merger Regulation (Commitments).

These commitments grants:

  • easy access to our mobile infrastructure as a MVNO
  • future-proofed commercial conditions
  • short time to market by guaranteed time lines

The reference offer in detail.

European Commission Decision dated 12 December 2012 in Case Comp/M.6497 Hutchison 3G Austria/ Orange Austria – Summary of Commitments made by Hutchison 3G Austria Holdings GmbH to the European Commission.

Hutchison 3G Austria Holdings GmbH (3AT) (legal predecessor of and since July 2013 changed into Styrol Holding 3 GmbH) made commitments to the European Commission (Commission) in order to enable the Commission to approve the acquisition of former Orange Austria by 3AT under the EU Merger Regulation (Commitments). There are three components to the Commitments

(i) a commitment to make wholesale MVNO access available (the MVNO Wholesale Access Commitment - Section B of the Commitments)

(ii) a commitment to enter into an MVNO agreement with an MVNO approved by the Commission (the Upfront MVNO Commitment - Section C of the Commitments) and

(iii) a commitment to divest 2x10 MHz in the 2.6GHz frequency band (the Spectrum Divestment Commitment - Section D of the Commitments). References to 3AT include Hutchison Drei Austria GmbH (universal legal successor of former Hutchison 3G Austria GmbH) where appropriate.

The Commission approved the Upfront MVNO on 18 December 2012. Below is a summary of the remaining MVNO Commitments. A public copy of the Commission Decision dated 12 December 2012 in Case Comp/M.6497 Hutchison 3G Austria/ Orange Austria is available at the following link: http://ec.europa.eu/competition/elojade/isef/case_details.cfm?proc_code=2_M_6497.

MVNO Wholesale Access Commitment:

3AT has committed to make available wholesale MVNO access to the 3AT network to up to 30% of its capacity subject to a maximum of 16 MVNOs which are independent and unconnected to any MNO active in Austria

Interested MVNOs should refer to the terms and conditions in the Reference Offer located on the 3AT website for further detail. A brief summary is provided below. The process for making such requests will be detailed further in Guiding Principles to be published on the websites of each of 3AT, the Monitoring Trustee and the RTR.

Please note that interested MVNOs must apply and enter into an MVNO agreement with 3AT before MVNO Wholesale Access Commitment expires. This Commitment expires on the earlier of (i) the date by which 3AT has transferred the Divestment Spectrum to the acquirer and the Auction Spectrum has been transferred to the acquirer (ii) the date on which a new entrant MNO enters the market and (iii) 10 years from 11 November 2012. 3AT will continue to fulfil its obligations under all existing MVNO agreements that it has entered into prior to the expiry of the Commitment.

The terms and conditions of the Reference Offer include the following key terms:

(1) 3AT offers wholesale access to the 3AT network for the origination and termination of circuit switched, SMS and packed switched data (including MMS) services to MVNO customers.

(2) 3AT offers

(i) wholesale access to the 3AT network for the provision of value added services to MVNO customers

(ii) location data for emergency call delivery services and location data and real time CDRs for legal interception services with respect to the MVNO customers

(iii) and a copy of its MNP database as at the date of the MVNO agreement.

(3) 3AT will consider reasonable requests to provide additional services, subject to separate negotiation and agreement on the terms and conditions (including charges).

(4) The wholesale access services will be provided using the mobile network technologies which 3AT uses to provide services to its customers, including future evolutions in mobile technologies within a reasonable period of the commercial launch of the technology by 3AT.

(5) 3AT offers differentiated pricing at attractive rates, which will facilitate MVNO business models including: individual per unit base rates for Circuit Switched, SMS and Packet Switched Data; for Packet Switched Data, the choice between fixed per unit pricing and tiered pricing; a volume discount scheme; and an additional 25% retail minus pricing option for data access SIM-only services.

(6) Prices are subject to retail price indexation.

(7) The initial term of an MVNO Agreement will be of 3 years, with a right for the MVNO to extend, in principle, until 2022.

(8) 3AT has a non-discrimination obligation.

(9) The Reference Offer contains further details regarding inter alia payment and security, implementation, forecasting, access to and use of MVNO customer information, numbering, privacy and data protection, use of the 3AT network, intellectual property and branding, compliance, limitations of liability and warranties, termination, governing law and jurisdiction.

(10) The Reference Offer is subject to the MVNO and 3AT entering into an MVNO agreement on reasonable terms which shall include the commercial terms in the Reference Offer. If the parties are not able to agree upon the terms of the MVNO agreement within 5 months, it is possible to refer the matter to an independent panel of experts for dispute resolution.

Appointment of Monitoring Trustee to oversee implementation of H3A’s Commitments.

On 7 February 2013 the Commission approved Mazars (former CompetitionRx) as the Monitoring Trustee in Case Comp/M.6497 Hutchison 3G Austria/Orange Austria. The role of the Monitoring Trustee is to monitor the compliance of H3G with the Commitments attached to the Decision and to report to the Commission thereon. For further information in relation to the role of the Monitoring Trustee and this Case, please see Mazars website: https://www.mazars.com/

The Monitoring Trustee may be contacted directly by:

E-mail: H3G.trustee@mazars.co.uk

Telefon: +44 7881 284 080

DISCLAIMER: The text of this webpage contains unofficial summaries of the Commitments and Reference Offer. Only the text of the Commitments and Reference Offer in English language is binding: http://ec.europa.eu/competition/elojade/isef/case_details.cfm?proc_code=2_M_649

Contact us.

Get in contact with our experienced team an we could elaborate a tailor-made solution based on your requirements.

Alexander Gratzer
Head of MVNO & Reselling

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