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BONN, Germany, Dec 16 (Reuters) - The German governmentshould consider selling its stakes in Deutsche Telekom and Deutsche Post to avoid conflicts ofinterest, an independent advisory group said on Monday.
The monopolies commission said in a report that conflictarises because the state owns stakes in the companies but alsohas to keep an eye on them to ensure fair competition.
The German state owns almost 32 percent of Deutsche Telekomand around 21 percent of Deutsche Post. The commission said thatthe Deutsche Post stake offered no real chance to exerciseinfluence at the company and should therefore be sold.
Any proceeds from a sale could be used for investment inexpanding broadband services across the country, it added.
The finance ministry declined to comment on the report.
Separately, the country's network agency said on Monday thatGerman cable companies, such as Kabel Deutschland andUnitymedia Kabel BW, are taking market share fromincumbent Deutsche Telekom in the market for broadbandconnections.
By mid-2013, around 4.8 million customers received broadbandvia a cable TV company, equivalent to a 17 percent market share,up from 4.4 million at the end of 2012, the agency said.
The market share of Deutsche Telekom in the broadband markethas declined 2 percentage points over the last two years andstood at 44 percent in mid-2013, the agency added.
