Telekom Requests Cabinet Decision in Aria-Aycell Merger

The issue was started with a licensed Is-TIM, then exacerbated with Aria applying to international arbitration on the grounds that Turk Telekom had failed to fulfill its contractual obligations, and finally ended with the Aria-Aycell merger following conciliatory talks between Prime Minister Recep Tayyip Erdogan and Italian Prime Minister Silvio Berlusconi.

These developments have caused concern on the part of Turk Telekom concerning the future. Feeling that it was necessary to have a political decision behind them in order to sign such an agreement, Turk Telekom brought the matter to Minister Foreign Affairs Abdullah with the help of Minister of Transportation Binali Yildirim. With the support of Gul and Yildirim, the legal aspects of the Aria-Aycell merger were reportedly brought onto the agenda of the Cabinet. Aycell official Cahit Paksoy, claiming that the Aria-Aycell merger was not a political decision, said: "This is a commercial merger. Since the two big companies merged, the matter was brought on to the agenda of the Cabinet; however, it is out of the question to demand that political support be given."

Selim Kuvel / Ankara / TURKEY