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Annual report 2015

Opinion of the European Commission of 15 July 2016 (FTR)

BIPT publishes a study benchmarking the telecom product prices on the business market.

As in 2014 and 2015, this study has been conducted by the Teligen division of Strategy Analytics Ltd. The study reports on the prices of services for professionals and small and medium enterprises in Belgium compared with France, Germany, the Netherlands and the United Kingdom. The study uses a basket methodology to compare the telecommunications charges paid by eight types of business entities, which are constructed to represent different combinations of services and usage levels. The analysis considers costs for each business type when services are purchased singly to make up the communications requirements of the business, as well as costs when multiplay offerings are used.

As in 2014 and 2015, this study has been conducted by the Teligen division of Strategy Analytics Ltd. The study reports on the prices of services for professionals and small and medium enterprises in Belgium compared with France, Germany, the Netherlands and the United Kingdom.

Margin squeezes (also called "price squeezes") may occur if a vertically integrated operator sets a margin between the price of its wholesale services and the price of its retail services that is insufficient to cover the costs specific to the retail market. In 2007 BIPT adopted guidelines concerning the assessment of margin squeezes. BIPT wishes to adopt new guidelines in the light of the developments that have since occurred in this field. With this goal in mind, on 4 December 2015, BIPT launched a consultation on a draft of new guidelines as well as two corresponding spreadsheets, developed in order to detect possible margin squeezes for retail services provided to residential customers and small business users based on BROBA and WBA VDSL2 (Shared VLAN) as well as multicast. In March 2016 a second consultation round took place relating to the spreadsheet that was specifically developed for retail services provided on the basis of cable access. Today BIPT wishes to organise a third and final consultation round, related to the spreadsheet for detecting possible margin squeezes regarding retail services for large business users, based on BROBA, WBA VDSL2 and NGLL. Possible margin squeezes shall be examined per wholesale market, on a contractual basis (case by case). In the model, revenue and costs shall be considered for both access services (for all lines from a given contract) and non-regulated additional services. This consultation will deal with a spreadsheet in Excel format, developed to detect any margin squeezes practiced by the operators with a significant market power, regarding retail services for large business users. Deadline: until 12 August 2016 Address: consultation.sg@bipt.be Ref. : CONSULT-2016-B7 Contact persons: Vincent Hanchir, Chief Economist (02 226 87 78) and Tom Van Landeghem, Advisor (02 226 89 40)

The Brussels Court of Appeal annuls a CRC decision on the analysis of the broadband internet markets

Deadline: August 17, 2016. The deadline is extended to September 15, 2016. Responses are to be sent to: consultation.sg@bipt.be  Ref.: Consult-2016-B5 Contact person: Jean-Pierre Pirlot (02 226 87 52)

Telecommunications market indicators

The decision has been taken to continue in working groups in cooperation with the stakeholders. A document has been drafted summarising the method, objectives and deliverables. This document is annexed to this review.