CFC fines Telmex US$52mn for refusing interconnection to Axtel

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Thursday, February 7, 2013

Mexico's anti-trust commission CFC has fined fixed line telco Telmex 657mn pesos ($51.6mn) for denying interconnection to competitor Axtel in numerous cities, the CFC said in a statement.

The CFC said that Telmex, which is a unit of América Móvil (NYSE: AMX), had refused Axtel access to its dedicated links from August 2009-June 2011 in 32 cities and on six national long distance routes.

Telmex has substantial power in terms of dedicated lines and its concession license obliges the company to allow third parties access to them. The CFC also said that Telmex has been a repeat offender in such practices.

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Telmex now has 30 days to appeal the ruling.

Mexico's telecoms regulator Cofetel is also currently investigating Telmex for slapping a 10.40-peso (US$0.81) charge on its customers for itemized bills, which the watchdog said it never authorized.