LML4802
MAY JUNE PORTFOLIO 2025
Unique Number:
Due date: 29 May 2025
SECTION A: COMPETITION LAW
QUESTION 1
1.1.
The proposed acquisition by Starlink of a 70% share in Vodacom Ltd constitutes a horizontal
merger. This is because both entities operate within the telecommunications sector,
specifically in providing internet connectivity services. Vodacom is a major mobile and
internet services provider in South Africa, while Starlink offers satellite internet globally.
Though they use different technologies—mobile broadband versus satellite internet—they
target the same customer base (households, businesses, and government) and fulfil the
same need: internet access. This means they operate in the same market, making them
direct or potential competitors.
Competition Evaluation Criteria
In terms of section 12A(1) of the Competition Act 89 of 1998, the first test is whether the
proposed merger is likely to substantially prevent or lessen competition. Several key factors
must be considered:
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.
MAY JUNE PORTFOLIO 2025
Unique Number:
Due date: 29 May 2025
SECTION A: COMPETITION LAW
QUESTION 1
1.1.
The proposed acquisition by Starlink of a 70% share in Vodacom Ltd constitutes a horizontal
merger. This is because both entities operate within the telecommunications sector,
specifically in providing internet connectivity services. Vodacom is a major mobile and
internet services provider in South Africa, while Starlink offers satellite internet globally.
Though they use different technologies—mobile broadband versus satellite internet—they
target the same customer base (households, businesses, and government) and fulfil the
same need: internet access. This means they operate in the same market, making them
direct or potential competitors.
Competition Evaluation Criteria
In terms of section 12A(1) of the Competition Act 89 of 1998, the first test is whether the
proposed merger is likely to substantially prevent or lessen competition. Several key factors
must be considered:
DISCLAIMER & TERMS OF USE
Educational Aid: These study notes are intended to be used as educational resources and should not be seen as a
replacement for individual research, critical analysis, or professional consultation. Students are encouraged to perform
their own research and seek advice from their instructors or academic advisors for specific assignment guidelines.
Personal Responsibility: While every effort has been made to ensure the accuracy and reliability of the information in
these study notes, the seller does not guarantee the completeness or correctness of all content. The buyer is
responsible for verifying the accuracy of the information and exercising their own judgment when applying it to their
assignments.
Academic Integrity: It is essential for students to maintain academic integrity and follow their institution's policies
regarding plagiarism, citation, and referencing. These study notes should be used as learning tools and sources of
inspiration. Any direct reproduction of the content without proper citation and acknowledgment may be considered
academic misconduct.
Limited Liability: The seller shall not be liable for any direct or indirect damages, losses, or consequences arising from
the use of these notes. This includes, but is not limited to, poor academic performance, penalties, or any other negative
consequences resulting from the application or misuse of the information provided.