merger deal “True” “DTAC” still dust ‘DES’ I think that the remaining 2 people are at risk of having a hangover. But I think that even if there are 3, the structure of the competition is not much different.
Throughout the past week, set April 4, the issue of telecommunication mergers of hundreds of billions of baht. Gradually increasing the degree of heat once more following True Corporation Plc. and Total Access Communication Plc. (DTAC) approved the merger proposal of both Two companies are already
The shareholders of the two companies approved the merger between true and dtac which is an important step in the establishmentTechnology-Telecommunication Company To strengthen the agendadigitalof Thailand, offering new services to customers and accelerating the development of the skills of personnel ready to serve the new generation of customers
After the approval of the shareholders The merger is still subject to review and creditor notice. Regulatory agencies, including the Office of the Broadcasting Commission television business and the National Telecommunications Commission or the NBTC. which was notified on January 25, 2022
NBTC accepts petition letter
sideOffice of the NBTCAs a direct regulator stated that Since the merger There are representatives of the bureau must come out to receive at least 5 letters objecting to the merger. but it can be seen “Water gets meat” and the noise comes from the big brother in the industry “AIS”, who issued a 7-page book, emphasizing that the merger will seriously affect consumers.
In the mind of the book states that The merger between True and DTAC will affect the competition in the market. and seriously affecting consumers It is also contrary to the spirit of the law in spectrum allocation. and contrary to the spectrum auction rules because of allowing the merger
“True-DTAC” causes the market to be highly concentrated. affect competition
When considering the competitive index (HHI) of the three major mobile operators at the end of the third quarter of 2021, although there is no merger yet. The country’s mobile phone service market is already concentrated at a very high rate. If the NBTC allows business mergers, it will give new companies a market share of up to 53.4%. affecting the HHI index following the merger even more This gave the new company complete market dominance. affect the competition and is considered a market dominance
Teaching boxing. NBTC. Look at your own power.
In addition to the NBTC has duties under the constitutional provisions. and the Spectrum Assignment Organization Act, and also have the powers and duties under Section 21 of the Telecommunications Business Act B.E. 2544, which is a specific law governing telecommunications business that The telecommunications business must be subject to the law on competition. The Commission shall prescribe specific measures in accordance with the nature of the telecommunications business to prevent the licensee from acting in any way that monopolizes or reduces or restricts competition in the provision of telecommunications services.
With the foregoing legal provisions, The NBTC has a duty to apply the rules of the Anti-monopoly Announcement B.E. 2549 and the Announcement of Business Merger 2018 together in order to formulate measures to prevent monopoly acts or cause unfairness in the NBTC. Competition in telecommunications in the past, the NBTC has issued the National Telecommunications Commission on measures to prevent monopoly acts 2006, which stipulates that the purchase of business of the same type of service, whether directly or indirectly, is prohibited, unless permitted by the SEC. NTC
Most recently, the Office of the NBTC called a board meeting on April 7th. to acknowledge the letter submitted by AIS directly, along with the other 2 complaints previously submitted; andOn April 11, will bring the matter Attend the merger monitoring sub-committee meeting and drafting measures to supervise the impacts of the merger
DES believes it can be beneficial.
side Chaiwut Thanakmanusorn, Minister of Digital Economy and Society (DES) disclosed the case of the merger that The matter is the power of The NBTC, as an organization to regulate telecommunications business licensees, said Can a merger be possible? Initially know that It is the merger of shareholders and doing business together. But the business plan remains the same. which may be promoted further because I understand that mergers and acquisitions are difficult
However, admit that if the telecommunication industry has a mobile phone service provider (Operator) Left 2, there is a risk of halting happening. But I think that even if there are 3, the structure of the competition is not much different. with the past found dtac is starting to weaken No additional network investment In the long term, it may not be able to continue, while True has suffered a loss. If the merger of the two companies to be able to continue the business may be better. and become stronger
“When the merger The competition might be better. but it will be more severe because the market share is similar, however, the competitive situation It’s for the benefit of consumers. which is not worse because if released in the long term AIS might be bigger But True and dtac may weaken and leaving only one operator Because the telecommunication industry requires huge investments. making many operators unable to continue,” said Chaiwut.
