The relevant product market can be defined as the market for the supply of telecommunications devices and related products (accessories, spare parts, etc.) for corporate use. It is noted that the precise definition of the relevant market is not critical for the legal assessment of the case under consideration. In line with established EU case law and practice, the precise definition of the relevant market is not necessary for the application of Article 101 TFEU where the agreements or concerted practices at issue have as their object the restriction or distortion of competition.

Decision on the ex officio investigation conducted by the Directorate-General for Competition into the wholesale and retail online markets for telecommunications and teleconferencing devices and related equipment, spare parts, and software, in order to determine whether the conditions for the application of the provisions of Article 1 of Law 3959/2011 and/or 101 TFEU are met within the framework of vertical agreements following the Settlement Submissions pursuant to Article 29A of Law 3959/2011 by the companies operating under the names “YEALINK NETWORK TECHNOLOGY Co. Ltd” and “Allwan - Epikoinonies Dedomenon Ltd.” following the relevant Statement of Objections under ref. no 9116/02.11.2023 by the Commissioner-Rapporteur I. Stefatos and pursuant to HCC Decision no. 790/2022 and Article 29A of Law 3959/2011.

Article 29A of L. 3959/2011.

Operative part of the Decision

The Hellenic Competition Commission (HCC), in plenary, unanimously decided, pursuant to paragraph 35 of Decision No. 790/2022, to accept the Settlement Proposals submitted by the following companies and:

- Finds that the companies "YEALINK NETWORK TECHNOLOGY Co. Ltd” and “Allwan - Epikoinonies Dedomenon Ltd " infringed Article 1 of Law 3959/2011 and Article 101 TFEU due to their participation in prohibited vertical agreements through the practices outlined in the Statement of Objections, in the context of the Settlement Procedure.

 - Orders the companies to cease, if they have not already done so, and refrain in the future from the established infringements of Article 1 of Law 3959/2011 and Article 101 TFEU.

- Imposes a fine amounting to €83,002.59 on "YEALINK NETWORK TECHNOLOGY Co. Ltd" and a fine amounting to €22,770.07 on "Allwan - Epikoinonies Dedomenon Ltd". The total amount of the fines imposed on the two (2) settling parties is €105,772.66 for the established infringements of Articles 1 of Law 3959/2011 and 101 TFEU.

"YEALINK NETWORK TECHNOLOGY Co. Ltd"

"Allwan - Epikoinonies Dedomenon Ltd"

According to the grounds of the Decision, the evidence available indicates that the above undertakings infringed, by object, Article 1 of Law 3959/2011 and Article 101 TFEU through their participation in vertical agreements. Yealink engaged in a practice of setting minimum advertised prices on Internet sales in the context of a selective distribution network in the telecommunications equipment market (communication via VoIP and SIP protocols, telephone devices, accessories, spare parts, etc.), through its commercial policy, by supervising and ensuring compliance actions taken vis-à-vis retailers within the Greek territory. Allwan, the distributor of the above equipment, acted as a facilitator for the implementation of the specific policy of setting minimum advertised prices on the internet, as imposed by "Yealink". 

Setting resale prices and/or minimum advertised prices is by object a restriction of competition. It is considered by its nature to be capable of having a negative impact on the relevant market. As it harms competition between resellers by eliminating price intra-brand competition, while acting as a disincentive to lower selling prices for the product. The infringement lasted: (a) in relation to Yealink, from 05.03.2015 to 11.06.2021 and (b) in relation to Allwan, from 01.09.2017 to 11.06.2021. Finally, from the available evidence, Yealink also engaged in a practice of prohibiting active and passive sales within a selective distribution network, in the context of a vertical agreement, in violation of Articles 1(1) of Law 3959/2011 and 101(1) TFEU, lasted from 05.03.2015 to 31.12.2021. Setting resale prices and/or minimum advertised prices, as a restriction of competition by object, is considered capable, by its nature, of affecting the relevant market as it reduces competition among resellers, eliminating intra-brand price competition, while acting as a disincentive to reduce selling prices for the specific product. The duration of the infringement was: (a) regarding Yealink, from 05.03.2015 to 11.06.2021, and (b) regarding Allwan, from 01.09.2017 to 11.06.2021. Finally, based on the evidence available, it is apparent that Yearlink engaged in a practice of prohibiting active and passive sales within a selective distribution network, which was not  implemented in practice, in the context of a vertical agreement, in breach of Articles 1 (1) of Law 3959/2011 and 101 (1) TFEU, which lasted from 05.03.2015, to 31.12.2021.

It is noted that, in the present case, the above agreement setting minimum advertised prices online as well as the related agreement prohibiting active and passive sales, which was not implemented in practice, affected and were applicable within, the Greek territory - and hence, within the EU - despite the fact that the main company involved in the infringements is based outside the EU, namely in China And, therefore, fall within the scope of Law 3959/2011 and Article 101 TFEU.