Turk Telekom to receive 279 milion lira from Turkcell

Fixed line operator Turk Telekom said on Thursday a court ruled its mobile competitor Turkcell must pay it 279 million lira ($187 million) in a dispute over interconnection rates.

Turkcell is the market leader in Turkey and it competes with Turk Telekom’s mobile phone firm Avea in the domestic market.

Turkey’s mobile-phone market, which has some of the highest penetration rates in Europe, is highly competitive, and new regulation to liberalise it has sparked an unprecedented price war, amid deep economic recession in the country which has seen people curb phone usage sharply.

Turk Telekom said the ruling was made by the Ankara Commercial Court on Thursday.

‘Turkcell is required to pay Turk Telekom an amount of 279 million lira to recover our company’s losses due to the international connection established by Turkcell via Millenicom GmbH,’ Telekom said in a statement.

A Turkcell spokesperson said the company was evaluating the situation.