EU Rejects Li Ka-Shing's O2 Deal

The European Union rejected a proposed mobile industry consolidation deal, citing concerns over reduced competition and higher consumer prices. The deal aimed to reduce operators to three, with conditions for network sharing. The EU Commissioner demanded a fourth network to maintain competition. Despite efforts to strike deals with smaller operators, the proposal faced no interest, leading to potential legal challenges.

What was significant about the EU's decision regarding the mobile tie-up deal?

• It was the first time the EU approved such a deal.

• It marked the first rejection of a mobile tie-up deal by the EU.

• The decision was made without any conditions.

• The EU had previously rejected similar deals.

What was the proposed change in the number of operators in the deal?

• Increase to five operators

• Maintain the current number of operators

• Reduce to two operators

• Reduce to three operators

What are MVNOs in the context of the mobile network industry?

• Operators that do not own their wireless networks

• Operators that own their wireless networks

• Operators that are exclusive to one country

• Operators that provide only internet services

Why did the EU competition commissioner oppose the mobile tie-up deal?

• It would lead to more competition

• It would result in less choice and higher prices for consumers

• It would improve network quality

• It would create more jobs in the industry

What action did the companies consider after the EU's decision?

• Launching a new marketing campaign

• Merging with another company

• Accepting the decision without any further action

• Considering a legal challenge