Bonn, 11.04.2024 With the German government’s goal of a nationwide fiber optic rollout by 2030, the shutdown of the old copper networks must now also be on the political agenda. The German Broadband Association (BREKO) is therefore calling on the Federal Network Agency to provide a clear concept for the transition from copper to fiber optic networks – as an important incentive for further investment in fiber optic expansion. In addition, a swift shutdown of the old networks would be more sustainable and economical than the parallel operation of two infrastructures.

As the expansion of fiber optics in Germany progresses, the question arises as to the conditions under which Deutsche Telekom will decommission its copper network. A concept published today by BREKO at a press conference and a legal opinion show how it can be ensured that Deutsche Telekom does not strategically shut down its copper network only where it has laid fiber itself. The core of the BREKO concept is a request to the Federal Network Agency to design the conditions for the shutdown of the copper networks within the framework of the discretionary decision to which it is legally entitled in such a way that Telekom cannot use them strategically to the disadvantage of its competitors.

BREKO Managing Director Dr. Stephan Albers: “Deutsche Telekom must not be given the opportunity to strategically exploit the shutdown of its copper network and thus harm competition in fiber optic expansion. The Federal Network Agency must therefore proactively shape the copper-fiber optic migration and present a concrete roadmap that ensures that the old telephone network is also switched off in the expansion areas of competitors as soon as fiber optic is available there nationwide.”

Specifically, the Federal Network Agency should only approve the shutdown of the copper network in regions in which Telekom has laid fiber optics itself if the copper network is also shut down in areas that are comparably well supplied with fiber optics by competitors.

A copper-fiber optic migration designed in this way in line with competition would have two major advantages: The successive shutdown of the copper network in individual areas on the basis of objective criteria would be an investment incentive for all companies expanding fiber optics, as they can expect high capacity utilization of their fiber optic networks as soon as an area is almost fully covered. This would strengthen the self-economic fiber optic expansion overall and reduce the need for public subsidies in the long term. In addition, a rapid transition to copper switch-off would save a lot of electricity and other resources and would therefore also support climate protection.

Expert opinion confirms EU and constitutional scope for copper-fiber optic migration in line with competition law

In an expert opinion also presented today on behalf of BREKO, Andreas Neumann, a renowned regulatory expert in telecommunications law and Managing Director of the Institute for Network, Information and Communication Technology Law (IRNIK), confirms the legislative scope for promoting competitive copper-fiber optic migration: “Beyond the discretion of the Federal Network Agency, the Federal Government can also initiate legal regulations to ensure competitive copper-fiber optic migration. Both EU law and the German Basic Law provide sufficient legislative leeway for this.”

One possibility would be to enshrine in law the equal treatment of areas in which Telekom has rolled out fiber optics itself and those where the fiber optic network is owned by competitors – the so-called equal treatment model.

A second option would be the “incentive model”: The approval of switch-off applications in Telekom’s fiber optic expansion areas would be linked to stricter regulation of the copper network in the competitors’ fiber optic expansion regions in order to create an incentive to switch it off. However, this model would be more complex in its concrete form and less effective than the equal treatment model.

BREKO Managing Director Albers: “The German government should include a regulation for a competitive copper switch-off in the currently discussed Telecommunications Network Expansion Acceleration Act in order to meet its responsibility for a rapid fiber optic expansion.”

The presentation of today’s press conference, the BREKO concept for copper-fiber-optic migration and the legal opinion “Legislative leeway to promote copper-fiber-optic migration in line with competition” are available for download below.