| BRUSSELS, March 28
BRUSSELS, March 28 Telefonica, which
wants to buy KPN's E-Plus unit in Germany, should be
forced to give rivals cost price access to its German network
and sell some of its prepaid brands, German telecoms and
Internet services provider Freenet said on Friday.
Freenet's comments echo concerns by German Internet service
provider United Internet that the 8.6-billion-euro ($11.82
billion) deal may lessen competition in Europe's biggest market.
Freenet, which operates virtual network Mobilcom-Debitel,
called on the European Commission, which is now examining the
deal, to demand tough concessions from Telefonica before giving
"Technology-neutral, cost-based resale access should be part
of the set of remedies which could mitigate the impact resulting
from the transaction," Freenet said in a statement.
"Additionally it may be necessary for the merging parties to
sell at least some of their No Frills/prepaid brands, for
example blau, FONIC, simyo, ALDI, to non-MNO (mobile network
operator)," it said.
Albert Fetsch, spokesman for Telefonica Deutschland
, declined to comment.
Telefonica is expected to submit concessions to the European
Union competition watchdog next week, which has set a May 14
deadline for its decision.
($1 = 0.7278 Euros)
(Reporting by Foo Yun Chee; Editing by Sophie Walker)