24. February 2023

BMDV publishes analysis of the potential of self-service fiber optic expansion: Joint press statement by BREKO and VATM

The associations BREKO and VATM comment on the publication of the results of the “Analysis of the potential of self-business fiber optic expansion in Germany” by the Federal Ministry of Digital and Transport (BMDV) as follows:

“We welcome the publication of the results of the ‘Potential analysis of self-built fiber optic expansion in Germany’ by the Federal Ministry for Digital and Transport (BMDV). The analysis impressively shows that 91%, i.e. the vast majority of fiber optic connections in Germany, can be built economically without the use of taxpayers’ money. The result underlines the importance of targeted state funding in areas where private-sector expansion reaches its limits.

It is therefore all the more regrettable that the BMDV has not yet taken the results into account in its concept for gigabit funding in 2023. The analysis of potential should be made a valid, scientific basis for the commercial expansion potential as a prerequisite for entering into funding procedures. Without a clear and effective prioritization of the funding measures, it is to be feared that funding projects will crowd out the faster self-built fibre optic expansion in many municipalities. The consequence would be a waste of taxpayers’ money and a slowdown in fiber optic expansion overall.

The political compromise that has now apparently been negotiated between the federal and state governments prevents urgently needed better rules for the expansion of fiber optics in the coming years from becoming part of the federal government’s gigabit strategy.”

About BREKO

As the leading fibre association with more than 540 member companies, the German Broadband Association (BREKO) promotes competition in the German telecommunications market. Its members are clearly committed to future-proof fibre networks and are responsible for more than half of the deployment of fibre connections in Germany. In 2024, they invested 4.9 billion euros for this purpose. Further information can be found at brekoverband.de/en.