I=8, April 11, 2025
Federal Cartel Office sides with 1&1 in antenna sites dispute with Vantage Towers and Vodafone
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The Federal Cartel Office preliminary findings indicate that Vodafone and its subsidiary, Vantage Towers are liable for the failure by 1&1 to meet its antenna obligations at the end of 2022.
“Based on the findings obtained so far, the delayed provision of the contractually agreed locations must be considered an antitrust-contravening hindrance to 1&1’s market entry as a fourth network operator,” said Cartel Office President Andreas Mundt.
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The Cartel Office said it’s considering ordering the provision of the relevant sites within three years, with additional measures to follow in mid-2025.
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Vantage Towers had to give 1&1 access to 3,800 antenna sites by 2025. However, only a fraction of these are currently available.
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1&1 had an obligation to provide 1,000 active antenna sites at the end of 2022, but due to delays by Vantage Tower’s, it only managed to construct 5. Vantage was supposed to provide around two-third of the 1,000 sites.
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It currently has 1,000 active antenna sites, with another 5,000 under development.
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There were reports that the Federal Network Agency was looking to impose a penalty of €50,000 per location for failing to meet the 2022 obligations. However, the amount of the penalty depends on how convincingly 1&1 can explain the delays.
Assessment
If the Federal Cartel Office compels Vantage Towers to fulfill its obligations by 2028, 1&1 will be in a position to accelerate its network rollout. The findings could also support its defense against the €50 million penalty expected from the Federal Network Agency.