Beeline and Ucom Aim to Combine Forces to Face Market Challenges, Says Competition Authority Head

The President of the Competition Authority, Gegham Gevorgyan, commented on the merger of Beeline Armenia and Ucom during a press briefing with journalists. He stated that he cannot confirm whether there will be a price increase or not. “According to experience, there have been price increases after consolidation, although there have been instances of decreases as well,” he noted.

When asked about the reasons behind the merger of the two companies, Gevorgyan responded, “The owners provide justifications, but it is better to ask them directly. I will present the official position they have shared with us. It is primarily related to cost reduction. Given that they are continuously losing customers as the customer base transitions from mobile calls to internet platforms—such as WhatsApp and Viber—collecting revenue from these channels is significantly lower. That’s why they aim to combine forces to withstand market pressures.”

When questioned if the authorities consider that a significant portion of Ucom's shares belongs to former State Revenue Committee Chairman Gagik Khachatryan, who is now involved in corruption cases, the head of the Competition Authority stated that he does not know what the government's agenda entails. “I am not part of the executive, we are an independent body established by law and act independently of everyone. We cannot have any concerns related to the activities of individuals or other criteria. We must make decisions purely based on economic competition,” he concluded.