During the 1007th Committee Meeting held today (March 23), the Market Definition of Specific Telecommunications Services was passed; a formal announcement will be released shortly according to legal operating procedures.

In accordance with Paragraph 2 of Article 27 of the Telecommunications Management Act and Article 2 of subordinate regulations, Regulations Governing the Determination and Cancellation of Significant Market Power, there are five specific telecommunications services markets in Taiwan: fixed voice retail services market, fixed broadband retail services market, fixed wholesale services market, fixed voice access services market and mobile voice access services market.

It can be noted that the market definitions and market competition evaluation mechanism of the Telecommunications Management Act are based on a similar approach taken by the EU. When defining a market, it is necessary to impose ex-ante controls and then carry out an analysis of the competing forces. With respect to identifying a significant market power, “ex-ante” asymmetric control measures are required in order to maintain fair competition in specific telecommunications service markets and ensure the market can be continuingly development. In contrast, other markets shall adhere to general obligations, with view to maintaining operational flexibility and facilitating healthy market competition.

In summary, NCC hereby states that “Market Definition of Specific Telecommunications Services” will be announced in accordance with legal operating procedures and will become effective on the date of its announcement.