Denmark

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Telecommunications Regulation DENMARK Kromann Reumert CONTACT INFORMATION Torben Waage Kromann Reumert Sundkrogsgade 5 2100 København Ø Denmark 004570121211 [email protected]

1. What is the name and nature of the regulatory body(ies) in your jurisdiction? To which bodies (if any) are decisions appealed? The name of the regulatory body in Denmark for electronic communication is the Danish National IT and Telecom Agency (the "NITA"). NITA supervise i.a. whether operators and providers comply with the Danish Act on Competitive Conditions and Consumer In-terests in the Telecommunications Market, Act No. 780 of 28 June 2007 with later amendments, (the "Telecom Act") and the Executive Order on the Provision of Commu-nications Networks and Services, Executive Order No. 714 of 26 June 2008, (the "Tele-com Order") together with other regulation regarding electronic communication. NITA has the power to make a number of decisions under the Danish Telecom Act and the Danish Telecom Order. NITA's decision may be appeal to the Telecommunications Complaints Board. The decisions of the Telecommunications Complaints Board cannot be brought before other administrative authorities but may be brought before the courts.

2. Has your jurisdiction adopted the WTO Basic Telecommunications Agreement? If yes, with what exceptions, if any?

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Denmark

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Yes, Denmark has with no exceptions adopted the WTO Bacis Telecommunications Agreement. 3. Are operators in your jurisdiction privately or publicly/state owned? Operators in Denmark are privately owned. 4. What are the primary differences between the regulation of wire line, wireless, satellite, cable and VoIP providers? The Danish telecommunication regulation is technology neutral and does not differ between the different kinds of technology used for electronic communication. 5. Are broadcasters regulated separately from telecoms? Yes, broadcasters are regulated separately from telecoms in the radio and television regulation whereas telecoms are regulated in the telecommunication regulation. 6. How are satellite earth stations and submarine cable landings regulated? Satellite earth stations are not specifically regulated. The general regulation applies. As a main rule, the use of radio spectrum in connection with satellite earth stations requires a spectrum license from NITA. In respect of radio spectrum, see our answer to question 7. Landing submarine cables into Denmark's territorial waters requires a special authorisation from the Danish Coastal Authorities. The Danish Coastal Authorities may request security given in respect of the fulfilment of the terms on which the authorisation is granted. 7. How is the radio spectrum generally regulated? The use of radio spectrum is regulated by the Danish Act on Radio Frequencies (until 1 January 2010, Act No. 680 of 23 June 2004, and from 1 January 2010, Act No. 475 of 12 June 2009) and associated executive orders and the act is administered by NITA. NITA authorises the use of radio frequency spectrums in Denmark. In connection with the issue of licences, NITA will specify the terms for the use of licences. NITA will issue licences successively as applications for licences are received. In case several applica-tions for the same licence are received simultaneously, the licence will be issued by lot. NITA may postpone the issue of licences for the purpose of examining whether fre-quency scarcity is in evidence. When NITA has ascertained that frequency scarcity is in evidence, NITA may implement a public tender or hold an auction as a basis for issuing licences.

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Denmark

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Certain use of spectrum may be made licence-exempt. This concern, among other things, radio frequencies designated for maritime radio services and radio frequencies designated for aeronautical radio services. The conditions for such use are regulated in a specific executive order on the use of radio frequencies without a licence. 8. Are any operators granted exclusivity? No operators are granted exclusivity. 9. Are anti-competitive practices subject to regulation or general competition (e.g., antitrust) laws? Anti-competitive practices are subject to general competition laws. 10. What services have been liberalized or designated as competitive services? All telecom services, except the universal services obligations, have been liberalized. 11. Are there regulated tariffs or price lists? If so, for what types of services? Generally, there are no regulated tariffs or price lists. However, the Minister of Science, Technology and Innovation may law down maximum prices for universal service obliga-tions. Moreover, SMP providers may be imposed with price regulation, see our answer to question 15. 12. Are there restrictions on foreign investment in any types of communications companies? If so, what are the restrictions? No, there are no restrictions on foreign investment in any types of communications company. E.g. capital funds etc. may invest in telecommunication companies. 13. What are the approval processes for mergers and acquisitions? Do these vary by type of operator? Until 1 January 2010 spectrum licences can be transferred to other parties if the licence holder has obtained NITA's approval thereof prior to the transfer. Such transfers also include indirect transfers, including the transfer of shares, stock or other ownership in-terests that involve changes with regard to the controlling influence over the licence holder. This approval process does not vary by type of operator. From 1 January 2010 such prior approval is not required for transferring spectrum licences. There are no other approval processes for mergers and acquisitions. 14. Is interconnection between carriers mandatory?

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Yes, in some cases. Under the Telecom Act, providers have a right and an obligation to negotiate agreements with each other on the exchange of traffic. Moreover, SMP providers shall meet all reasonable requests for establishing or modifying interconnection agreements from other providers. Finally, in certain cases, NITA may decide to impose an obligation of interconnection on providers. 15. Are interconnection fees/rates regulated? Yes. The main rule is that fees/rates for interconnection and/or network access are subject to negotiation between the parties. However, SMP providers are subject to price control regulation and shall provide its services at cost-related prices. 16. Must carriers make available network components to competitors? If so, what are fees/prices based on cost, or market rates? The provisions on interconnection in the Telecom Act comprise i.a. access to facilities or services, including unbundled access to the local loop and associated facilities, for an-other provider. If the network components can be considered to be such facilities or services, the regulation of interconnection applies. SMP providers which are obliged to meet all reasonable requests for interconnection agreements from other providers shall then provide assess to network components. In respect of the fees/prices, see our answer to question 15. 17. Is there an obligation to serve all customers? If yes, is there a fund to subsidize eligible carriers? Which carriers contribute to the fund? Which carriers are eligible to receive these funds? Are broadband services subsidized or otherwise promoted through tax or other incentives? Only very few Danish telecommunication companies are subject to universal service ob-ligations. Generally, there is no obligation to serve all customers. Broadband services are not directly subsidized or otherwise promoted through tax or other incentives. 18. Are there mandatory requirements to customer agreements (subscriptions, etc.)? Yes, there are mandatory requirement to customer agreements when the customer is a consumer, such as e.g. requirements to supply information and requirements for the content of the contract, including minimum requirements for the content of contract terms in relation to maximum commitment periods; notice in case of alteration of prices and terms; notice in case of service interruption or cessation and termination and dis-connection. These requirements are found in the Telecom Order together with more general consumer protection regulation. The regulation principally concerns securing the consumers legal position against the providers, including securing that the consumers obtain sufficient information.

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19. Are there any general or telecommunication specific requirements as to data retention? Yes, the Executive Order on the retention and storage of traffic data by providers of electronic communications networks and services, Order No. 988 of 28 September 2006, contains regulation regarding retention and storage of traffic data. Providers of electronic communications networks and services to end users shall retain and store traffic data generated or processed in the providers' networks in such a way that it is possible to use these data in connection with the investigation and prosecution of criminal offences. Such traffic data shall be stored for one year. 20. Is number portability mandatory? If so, for which types of carriers (e.g., wireline, wireless, voice over internet protocol)? Yes and for all types of carriers as long as the carriers can be considered to be providers of electronic communications networks or services. The basic rules applicable to the porting of telephone numbers are that providers of electronic communications networks or services shall ensure that end-users under such providers will be able to retain their subscriber numbers when changing between pro-viders. The provider of electronic communications networks or services with whom the end-user originally has his customer relationship is not entitled, in connection with the end-user's request to use the number portability option, to claim any special payment from the end-user for establishing these facilities. 21. Is “equal access” dialing selection mandatory? If yes, for which types of carriers? “Equal access” dialling selection is not mandatory in Denmark. 22. Is access or other contributions (“ADCs”) required of new entrants? There is no general requirement of contributions from new entrants. The regulation of charges for interconnection applies, if the entrance is based on inter-connection, see our answer to question 15. 23. Is VoIP regulated? If yes, to what extent? No, VoIP is not separately regulated. VoIP is subject to the general Danish telecommu-nication regulation as this regulation is technology neutral.

24. Are any major changes to telecommunications laws expected in the near future?

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Denmark

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We are not familiar with any major changes to the Danish telecommunications laws in the near future. 25. Is resale of telecom services permitted? If yes, is this activity regulated? What is the process to become a reseller? Are foreign companies permitted to be resellers? Yes, resale of telecom services is permitted. On the wholesale market, resale of telecom services may be regulated by the Telecom Act. There is no specific process to become a reseller. Foreign companies are permitted to be resellers.

2100 West Loop South, Ste. 1000  Houston, Texas 77027  USA  Tel: 1.713.626.9393  www.lexmundi.com