The Spanish High Court for the Defence of the Competence has recommended to stop Telefónica from absorbing Iberbanda, the main wimax supplier in Spain. This decision must be backed by the Ministry of Economy to be able to execute it. However, it still goes to show the importance that wimax will have in the future. The Court does even describe it as “technology with a great potential”. “Telefónica will access through Iberbanda to the LMDS technology, that offers some advantages, especially as far broadband connection in rural areas and the future development of wimax are concerned”, says the jurisdictional organ. It also believes that its acquisition by the market leader could “be an obstacle for the effective competence in the market”. And we shouldn’t forget that Iberbanda is a relatively small company; it’s income in 2004 only reached 3,5 millions.The report where all these conclusions are published is very interesting for a few reasons:-It clearly explains that wimax is a real alternative to the current telecommunication systems and, therefore, it should be open to the competence and not be controlled by the leading operator. Neo-Sky did even suggest that, in the case that Telefónica bought Iberbanda, it would be tempted to offer wimax at really low prices to push the rest of operator out of the market. This is known as dumping. - It includes the list of companies that are currently licensed to offer wimax in Spain: France Télécom-Orange (Auna and Uni2), Iberbanda, Neo-Sky and Banda Ancha (the former Aló 2000). Broadnet and Banda26 (Jazztel) also had the licence, but they stop working some time ago. Euskaltel uses the licence of its colleague Auna. Actually, Telefónica was particularly left out of these licences to deter this leading company from cannibalizing this market. -Wimax is understood as a real alternative to the ADSL because of its quick installation, the broadness of the band and its symmetry (which means that the speed is the same both for the entrance and the exit of data), the installation of the receiving aerials is much simpler and cheaper than that of the parabolic aerials (and in the future we won’t even need them, since PCs will be provided with them), and its covering in very wide areas (up to 30 Km.) doesn’t require the direct line of visibility needed by pure LMDS.