Wanadoo: 10m euros out of pocket

The European Commission said on Wednesday it had fined the company 10.3 million euros ($11.5m ; �6.9m) for allegedly selling high-speed internet access at below cost price, freezing competitors out of the market.

"This practice restricted market entry and development potential for competitors, to the detriment of consumers, on a market which is key to the development of the information society," the Commission said in a statement.

The institution said Wanadoo's illegal pricing strategy lasted from March 2001 until October last year, when its owner, France Telecom, slashed its wholesale prices.

The Commission has calculated that Wanadoo grew from three to seven times bigger than its closest competitor during that period, according to reports.

The institution fined Deutsche Telekom 12.6 million euros for similar anti-competitive pricing deals two months ago.