Trouble at Telekom
Politicians are reportedly speaking of the potential dire business consequences should the industrial action continue, while there are now concerns that the planned G8 meeting of the world's leading industrial nations, due to be held in the German seaside town of Heiligendamm June 6-8, could be affected.
That would embarrass Germany's Chancellor Angela Merkel, as she is due to host her counterparts from Canada, France, Italy, Japan, Russia, the U.K., and the U.S., as well as a number of developing nations at the G8 meeting.
And Deutsche Telekom doesn't want to get on the wrong side of Merkel as it grapples with the European Commission over access to its new high-speed access network. (See EC Warns Germany and EC Threatens Germany With Court Case.)
To add to the carrier's misery, the strike began the day after DT announced a slump in first-quarter profits -- all of which is putting pressure on DT's share price, which has dipped by 2 percent this week to stand at €12.48 on the Frankfurt exchange Friday lunchtime.
— Ray Le Maistre, International News Editor, Light Reading