With its nationwide telecommunications infrastructure, Swisscom already faces fierce competition in particular from cable network (CATV) and city network operators. The entry of alternative infrastructure operators (e.g. wireless local loop) into the market will see competition become even more intense. By appealing to the Federal Court, Swisscom is taking a stand against continued unilateral regulation in a competitive environment.
ComCom´s ruling, which requires price reductions of up to 63 %, relates to 1998 prices. In fact, Swisscom has reduced prices several times over the past two years in a dynamic market. ComCom´s ruling does not take sufficient account of Swisscom´s current price structure. ComCom´s price calculation methods are not transparent and Swisscom has never been given the opportunity to comment on these methods.