ACM imposes penalty on Ziggo due to lack of free modem choice – IT Pro – News

And who will that penalty be passed on? Exactly, the customers who can pay more every year.

Why do you think this is so? You are suggesting that Ziggo can earn more money by raising prices further.

Let’s assume the maximum penalty, €500,000.

Option A: Suppose this penalty payment not coming: ziggo raises prices notand makes no extra profit.
Option B: Suppose this penalty is not coming: ziggo raises prices welland makes an additional $500,000 in profit.
Option C: Suppose this penalty is well coming: ziggo raises prices welland makes €0 extra profit

Which board would ever choose option A? This is immediately cashed out by the shareholders. The rates are purely related to what the customer is willing to pay for it, and nothing to do with a penalty.

The market can easily regulate this itself.

If there was fiber optic with me in Amsterdam, then maybe. Now I only have the choice between Ziggo and very slow ADSL.

[Reactie gewijzigd door svane op 2 juni 2022 12:33]

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