Viasat-Inmarsat merger cleared

The Competition and Markets Authority has cleared the proposed merger between Viasat and Inmarsat following a Phase 2 review. Both companies supply satellite connectivity services globally, including in-flight internet for airlines.

The Phase 2 inquiry group, of which DT Economics Managing Partner David Thomas was a member, assessed whether the merger would substantially lessen competition - a higher threshold than the Phase 1 review that had originally referred the transaction. The evidence showed that, while the two companies compete in the supply of satellite connectivity for in-flight wifi, the merger does not substantially reduce competition for services used by UK customers.

The group also took account of rapid expansion in the satellite sector, including new entrants such as Starlink and growing investment from established players including Panasonic and Intelsat. Further details are available on the CMA's case page.

Further details on the CMA's case page:

https://www.gov.uk/cma-cases/viasat-slash-inmarsat-merger-inquiry