EU probe to target Net groups

By THIS IS MONEY
Updated:

 

EUROPE'S fast-growing Internet market is being investigated by Brussels competition authorities.

The European Commission has launched a probe into whether Deutsche Telekom of Germany is abusing its market dominance to give it an unfair lead against rivals. The inquiry follows a complaint from AOL Europe, a joint venture between America Online and German media group Bertelsmann.

AOL claims Deutsche is effectively cross-subsidising its own Internet business, T-Online, and uses its advantages to squeeze competitors.

Deutsche said it charged subscribers to T-Online the same amount as it charges AOL for access to its phone network. Analysts said British Telecom was unlikely to be heavily affected by an investigation.

Most watched Money videos