European Commission (EC) regulators were rumoured to be against a plan to create a single fibre network in Italy majority owned by Telecom Italia, Bloomberg reported, the latest hurdle against an initiative besieged by disagreements since inception.
The news website’s sources said EC competition officials were concerned the move would create a monopoly controlled by one of the country’s major communications companies.
Although the EC is monitoring the situation, the proposal is yet to be formally submitted to the authority because details are still being finalised at a national level.
The creation of a single fibre provider in the country supplying services on a wholesale basis is a long-term project seen by Italy’s authorities as a way of improving broadband infrastructure. [1] It is set to comprise assets from Telecom Italia and smaller rival Open Fiber.
However, the project faced opposition and disagreements from a number of parties. Up to last month detractors included Telecom Italia [2] which clashed with the country on its shareholding and ultimate control of the newly-formed company.
Earlier this month Telecom Italia announced a preliminary agreement on the government’s plan, with it holding more than 50 per cent of the equity in the venture. The announcement came alongside confirmation of details of the operator’s plan to spin-off fixed assets into FiberCop [3].
[1] https://www.mobileworldlive.com/featured-content/top-three/tim-open-fiber-deal-could-mean-job-cuts
[2] https://www.mobileworldlive.com/featured-content/top-three/telecom-italia-state-at-loggerheads-over-fixed-plan
[3] https://www.mobileworldlive.com/featured-content/top-three/telecom-italia-sells-e1-8b-fibre-stake-agrees-state-plan
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