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Suspicions of monopoly: Kazakhtelecom and mobile operators under investigation by regulator

27.08.2025 19:10:00
Дата публикации
The Agency for the Protection and Development of Competition (APDC) of Kazakhstan is conducting an investigation into the largest telecom operator, Kazakhtelecom JSC. The reason for this was suspicions of setting a monopolistically high price for fixed-line Internet services.

According to the agency, in 2024, Kazakhtelecom's tariffs for Internet with speeds of up to 100, 200 and 500 Mbit/sec increased by 20%. This raised questions about the market validity of prices and became the basis for initiating an investigation for violations of antitrust laws.

The analysis also identified barriers that hinder third-party operators' access to apartment buildings. This concerns the technical conditions for connecting to cable sewers, which are provided on a paid basis, despite the absence of such a provision in the law on natural monopolies.

AZRK notes that the current rules limit competition: operators face administrative and infrastructural obstacles when trying to enter the home Internet market. This strengthens the dominant position of Kazakhtelecom.

In addition, the agency studied the dynamics of prices for cellular services. Signs of price collusion were found in the actions of Beeline, Kcell and Tele2. According to the deputy chairman of AZRK, the investigation was launched, but temporarily suspended - the companies are appealing the agency's orders in the Supreme Court.

Each of the three operators has shown signs of overpricing communications in recent years. After the completion of the legal proceedings, the antimonopoly authority intends to continue and complete the investigations.

A parallel analysis is being conducted on Beeline, which is also being investigated separately. The agency emphasizes that the goal is not to interfere in the market, but to ensure transparent competition and consumer protection.

Against the backdrop of the antitrust investigation, the initiative announced in March 2025 has been revived: the AZRK research center proposed limiting Kazakhtelecom's participation in the retail segment of home Internet.

The company, having a backbone infrastructure and a dominant position, can focus on providing access to networks for private operators, while maintaining its role in the B2B and B2G segments.

According to the agency, such a step will reduce the state's presence in the consumer sector and create conditions for sustainable competition.

Equal rules for access to infrastructure will improve the level of user connectivity, expand their right to choose, reduce the digital divide between regions and strengthen the situation with the digital rights of Kazakhstanis.

AZRK emphasizes that private operators are already capable of providing high-quality services, and the open market is the key to the development of the telecom industry.


(the text translation was done automatically)