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Image header Agence Europe
Europe Daily Bulletin No. 8357
Contents Publication in full By article 21 / 39
GENERAL NEWS / (eu) eu/competition

Commission clears merger of Logica and CMG

Brussels, 09/12/2002 (Agence Europe) - The European Commission has cleared the proposed merger of the UK's Logica and Anglo-Dutch CMG through an exchange of shares whereby Logica would hold 60% of the merged company, and CMG 40%. The two information and communication technologies are world leaders in the supply of text messages (SMS). The Commission's investigation revealed that while SMS will remain a growth market in the short-term competition for the implementation of the infrastructure has run its course and telecom operators do not intend to invest further in a technology considered mature. In the market for multimedia messaging services (expected to succeed SMS), the Commission noted that the parties would face significant competitive pressure from telecom infrastructure suppliers such as Nokia and Ericsson.

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