Spanish communications and competition regulator, CNMC, has fined Nokia Solutions and Networks Spain a total of EUR 1.74 million (US$1.94m) following anticompetitive behavior in the tender to modernize and maintain the country’s railway communication system on high-speed train lines.
Specifically, the CNMC accused Nokia of abusing of its dominant position and engaging in a margin squeeze when setting its wholesale and retail prices for wireless digital systems used in the GSM-R rail communication system. The probable result of the anticompetitive conduct was that Nokia’s main competitor in the GSM-R telecommunications market decided against participating in the tender, added the CNMC. Nokia Networks now has two months to appeal the fine before the country’s contentious-administrative courts.
Spain’s national railway operator, Administrador de Infraestructuras Ferroviarias (Adif), awarded the 10-year contract to upgrade and maintain the GSM-R system to Nokia Networks, Siemens and Thales in 2015.
Nokia Networks won the contract to maintain the GSM-R communication system; upgrade the GSM-R core network; provide several key systems, provide systems integration services, complete network operations and care as well as remote management from the Global Delivery Centre.
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