EU probes m-payments joint venture

Total Telecom reports.

The Commission's preliminary investigation indicates potential competition concerns in mobile payment applications, mobile advertising and related data analytics services, where the joint venture may have very high market shares.

According to the Commission, the joint venture and its three parent companies may have the technical and commercial ability and incentive to block future competitors from offering their own mobile wallet services, Mobile Europe states.

The three operators were originally hopeful that the joint venture, dubbed Project Oscar, would get European regulatory approval in time and provide mobile commerce services including payment transaction services, Mobile Today says.

Joaqu'in Almunia, the Commission's VP for competition policy, says: “The Commission is in favour of any initiative that will develop the promising mobile commerce sector in Europe and bring new and innovative payment and interactive advertising experience to consumers.

“At the same time, we need to make sure that competing services can keep emerging on this market, so that incentives to innovate remain and customers get the best mobile commerce services at the best cost.'