ROME-Italy’s largest wireless operator Telecom Italia Mobile SpA filed a lawsuit against Italy’s Communications Authority, arguing it should not have to bid for one of the country’s Universal Mobile Telecommunications System licenses because a 1994 agreement with the Ministry of Communications granted it the right to provide UMTS services, according to the Wall Street Journal.
TIM also argued that the licenses should be awarded due to the technological and commercial experience of the contestants and not in an open auction process.
The Italian government said the TIM requests would be a “blatant violation of principles of liberalization, European and national rules,” and would contradict TIM’s request to replace its telecommunications concession with a regular license.
The Wall Street Journal also reported that another potential UMTS license bidder, Anthill, is also preparing legal action against the auction, alleging the government has leaked information to Italian newspapers of its intent to disqualify the consortium because it lacks adequate telecom experience.
The auction, scheduled to begin in October, will involve eight applicants bidding for five licenses, and is expected to raise $13 billion.
