The Lithuanian MMDS operator Mikrovisatos TV has cancelled an agreement with TEO LT. Signed last December, it would have seen the company acquired by the incumbent telco for an undisclosed fee but failed to secure permission from the Competition Council. The move will be a blow to TEO LT, which begun DTT transmissions in Vilnius last July and was hoping to make use of a licence that allows Mikrovisatos TV to rebroadcast 24 TV channels over DVB-T networks in Lithuania. TEO LT launched an IPTV service in October 2006 that ended the year with almost 5,000 subscribers. The telco is also the leading provider of broadband Internet access in Lithuania, with 180,774 ADSL subscribers as of December 31, 2006.