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[BUSINESS] · Germany · 10 sources

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Vodafone suffers legal setback in market abuse dispute with 1&1

The Higher Regional Court (OLG) in Düsseldorf has rejected an urgent application by Vodafone, dealing a setback to the telecommunications provider in its legal dispute with competitor 1&1. Vodafone had sought to have the Federal Cartel Office (Bundeskartellamt) declared biased and partisan to prevent the agency from ruling on allegations of market abuse.

With the court's decision, the Federal Cartel Office is permitted to proceed with its separate market abuse proceedings in Bonn. The dispute centers on 1&1's attempt to enter the German mobile market as a fourth provider. 1&1 alleges that Vodafone used its influence over Vantage Towers—an infrastructure provider in which Vodafone remains the largest shareholder—to limit the number of network sites available to 1&1, thereby hindering its network expansion.

In early 2023, 1&1 significantly missed state-mandated expansion requirements, operating only five mobile network sites instead of the required 1,000. The Federal Cartel Office has issued a preliminary assessment suggesting that Vodafone may have unlawfully obstructed its competitor.

Entities

1&1 · Bundeskartellamt · Federal Cartel Office · Higher Regional Court of Düsseldorf · Oberlandesgericht Düsseldorf · Vantage Towers · Vodafone

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