The Authority aims for the division of the railway corporation.
The new head of Germany's Monopolies Commission, economist Tomaso Duso, is pushing for a shift in strategy for Deutsche Bahn. He suggested linking Bahn managers' pay to trains running on time. Short-term bonuses for Bahn managers should hinge on meeting punctuality targets, while long-term bonuses should depend on both expanding and maintaining infrastructure, according to Duso. In his view, the latter has been neglected recently.
Duso also asserted that with current long-distance trains' punctuality rate of 60%, bonuses for Bahn's top brass should significantly decrease. He believes that punctuality should take priority over other considerations, such as female representation in management.
As an independent advisor to the federal government on competition matters, the Monopolies Commission advocates for Duso's views. He has been serving as the commission's chairman for just two weeks, and this is his first official statement.
Duso also advocates for separating the Bahn's infrastructure from its other operations. He argued that the infrastructure, being a natural monopoly, should receive more investment and regulation from the government. However, he also stressed the importance of competition on this infrastructure, with the infrastructure remaining publicly owned for the common good. Duso suggested that the day-to-day operation of the trains could be privatized. He also supports the government's decision to sell off the logistics division Schenker, as the state has no business being an owner in that field.
On the topic of US tech giant Google's market power, Duso expressed his support for "unbundling" the company. He proposed that parts of Google, such as Android and Chrome, could be spun off to increase competition. Former EU Commissioner Vestager shares Duso's view, considering the separation of the advertising business necessary to boost competition. Duso agrees, noting that Google's core business involves monetizing data through advertising, and the most competitive environment can be established with a separation in this area.
Duso underscores the need for more investment in Bahn's infrastructure due to its nature as a natural monopoly. His suggestion is to keep the infrastructure publicly owned but privatize its day-to-day operations to encourage investment.
Further emphasizing his focus on investment, Duso supports the separation of Google's Android and Chrome from the company, arguing that it would increase competition and create a more competitive environment in the advertising business.
