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The boundary of the universal service, relevant market definition, and the postal network organization: three missing issues in the Italian Antitrust case Tnt Post Italy/Poste Italiane

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  • Vincenzo Visco Comandini

Abstract

The Italian Antitrust Authority decision concerning predatory pricing and abusive practicesin the postal market by the Incumbent Poste Italiane has been recently annulledon appeal by the Tar (Italian Administrative Court). The paper criticizes the relevantmarket definition provided by the Authority. According to the 2001 European Commissionthat originally defined it, the postal market where competitors supply theirservices is separated from the universal service market if their provision includes somevalue added features. The main drawback of this definition is that the incumbent,although holding more that 77% of share in the contestable market, is formally notdominant, therefore not charged by special obligations to not reduce competition. Thepaper suggests to charge Agcom, the newly appointed independent postal regulatoryAuthority, to adjust the relevant market definition in the light of true substitution andcross elasticity effects.

Suggested Citation

  • Vincenzo Visco Comandini, 2013. "The boundary of the universal service, relevant market definition, and the postal network organization: three missing issues in the Italian Antitrust case Tnt Post Italy/Poste Italiane," Mercato Concorrenza Regole, Società editrice il Mulino, issue 1, pages 215-226.
    • Handle: RePEc:mul:jhpfyn:doi:10.1434/73457:y:2013:i:1:p:215-226
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