Commission authorizes joint venture between Siemens and Italtel
The European Commission has adopted a Decision to authorize the merger of the activities of the Italian subsidiary of Siemens for the manufacture of telecommunications equipment, Siemens Telecomunicazioni SpA, and Italtel, the manufacturing subsidiary of the STET group in the telecommunications equipment sector. In adopting the Decision, the Commission has recognized that the introduction of new technologies in the area of telecommunications equipment is in the process of transformation. The benefits of any privileged treatment to the joint venture imposed on Telecom Italia by STET will be shared with Siemens. The distinction between the interests of the service activities and the manufacturing activities within the STET group has been further reinforced in the framework of the reorganization of STET, through the creation of Tecnitel, a wholly-owned STET subsidiary. STET has given assurances to the Commission with respect to the non-interference of STET in the purchasing policy of Telecom Italia, in particular with regard to the choice of suppliers and to a clear separation of the Boards of Directors, the CEO, and in general the management of Telecom Italia, Tecnitel and the companies of the Italtel group.