On October 10, the European Commission published its evaluation of the public consultation on the future of the telecommunications industry – including the question of a possible participation of large tech companies in the costs of network expansion (“fair share”). The German Broadband Association (BREKO) comments on this evaluation as follows:

“BREKO supports the aim of the Digital Networks Act to improve the framework conditions for even more investment in fiber optic expansion. However, this does not fit in with the fact that the EU Commission itself has caused considerable uncertainty among fiber optic investors with its draft for a Gigabit Infrastructure Act this year by proposing regulations that would facilitate a strategic double roll-out of fiber optic networks. If the EU Commission is serious about its announcement, it must work to ensure that all investment-inhibiting regulations are removed from the proposed legislation in the upcoming negotiations with the European Council and the European Parliament on the design of the Gigabit Infrastructure Act.

BREKO is also critical of the strong focus of the evaluation of the consultation on the creation of a single European telecommunications market through uniform regulation and the associated demand by some market players for consolidation into a few national or even European players. This view ignores the major differences between the member states in the expansion of fiber optic and mobile networks. In Germany in particular, the diversity of companies is currently creating enormous momentum in the expansion of fiber optics. The “one-size-fits-all” approach is therefore counterproductive and would jeopardize the achievement of the ambitious expansion targets in Germany and therefore also in Europe.

Involving large tech companies in the costs of network expansion could further strengthen the momentum in fiber optic expansion. However, it is crucial that it is implemented in a way that ensures fair competition in the telecommunications market. It is therefore understandable to us that the EU Commission does not want to rush into this issue.”