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FastWeb Fights TI

Michelle Donegan
10/31/2007

3:15 PM -- Fastweb SpA (Milan: FWB) is hopping mad about a customer win-back campaign used by Telecom Italia (TIM) that targets FastWeb customers. The alternative operator claims the practice is illegal and says its customer churn was up in the third quarter as a result. (See FastWeb Reports Q3.)

The Italian antitrust authority last week launched an investigation into Telecom Italia's practices at the request of FastWeb and fellow alternative operator victim Wind Telecomunicazioni SpA . FastWeb also filed suit this month against Telecom Italia for damage compensation of €500 for every win-back call made.

"Telecom Italia has been calling very extensively our customers to win them back, and they're using information that shouldn't be used for commercial activities," says Stefano Parisi, FastWeb's CEO.

Parisi says he has evidence that Telecom Italia sales people get a bigger commission when they sign up FastWeb customers.

"This is why we ask for network separation in Italy to avoid this kind of activities from Telecom Italia," says Parisi. (See Italians to Separate, Telcos Consider the Splits, and Reding Wants 'European FCC'.)

— Michelle DoneGan, European Editor, Light Reading

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