Czech Competition Authority Launches Investigation into Mobile Services Competition
The Czech competition authority has initiated a sector inquiry into the competition dynamics of mobile telecommunications services provided to households in the Czech Republic, focusing on pricing and market share issues.
04.11.2025 | Czech competition authority
The Czech Office for the Protection of Competition (ÚOHS) has commenced a sector inquiry into the functioning of competition in the mobile telecommunications services market for households in the Czech Republic. This decision follows an initial analysis conducted in collaboration with the Czech Telecommunications Office (ČTÚ), which indicated a need for a deeper examination of the relationships between operators due to potential competition issues as key players' market shares grow while the significance of independent virtual operators declines.
The inquiry will specifically investigate pricing conditions for mobile telecommunications services, including calls, SMS, and mobile data, as well as the effects of bundling these services with other telecommunications offerings. The analysis will cover the period from the beginning of 2018 to October 31, 2025.
In collaboration with ČTÚ, ÚOHS conducted an analysis aimed at examining specific aspects of competition among mobile operators using demand estimation systems and evaluating price, cross-price, and income elasticities. The findings revealed the necessity to more precisely define relevant markets, as segments such as households and businesses, or services like calls and SMS versus mobile data, may not constitute a single relevant market for mobile services. The results also suggest that operators may face relatively inelastic individual demands, potentially incentivizing them to raise mobile service prices.
Previous sector inquiries by ÚOHS have examined retention offers for possible prohibited agreements or tacit collusion among mobile operators. The variety and quantity of retention offers led to the conclusion that tacit collusion was not occurring. The newly initiated sector inquiry will verify whether the previous conclusions remain valid today. The chairman of ÚOHS, Petr Mlsna, emphasized that the use of retention offers and bundling services could limit consumer choice and significantly reduce competition intensity among mobile operators. The inquiry will also analyze lock-in effects that may deter consumers from switching operators.
Chairman of ČTÚ, Marek Ebert, welcomed the inquiry, stating that they will provide necessary expert support to ÚOHS using their knowledge of the mobile market. The results of the sector inquiry will be utilized in the subsequent assessment of the wholesale market.
