13. May 2024

BREKO press statement on mobile frequency allocation: Federal Network Agency’s proposal does not create effective competition

Bonn, 13.05.2023 – The Federal Network Agency today presented its proposal to extend the mobile radio frequencies in the 800 MHz, 1,800 MHz and 2,600 MHz ranges, which expire at the end of 2025. Dr. Stephan Albers, Managing Director of the German Broadband Association (BREKO), explains:

“With today’s proposal, the Federal Network Agency is giving the established mobile network operators Telekom, Telefónica and Vodafone two gifts at once – without any compensation for their competitors: in addition to the extension of frequency usage rights, the established network operators will not have to fear any unwelcome competition in the future.

In BREKO’s view, this plan is fatal: by continuing to adhere to the ineffective negotiation requirement, the Federal Network Agency is missing the opportunity to create effective competition in mobile communications by introducing a service provider obligation. As has been the case since 2019, the negotiation requirement would not prevent the established mobile network operators from preventing real competition in mobile communications in the future. Service providers without their own mobile network would continue to have no chance of offering competitive mobile services to consumers and business customers.

The lack of competition in mobile communications is already having a serious impact on fiber optic expansion because, unlike Telekom, Telefónica and Vodafone, fiber optic providers without their own mobile network are unable to put together competitive bundled products comprising a fiber optic connection and 5G mobile communications.

The plan presented today ignores the warnings of numerous companies, associations, academics, the Monopolies Commission and the Federal Cartel Office. Instead, it is based on a biased, methodologically flawed report commissioned by the regulatory authority itself.

We therefore appeal to the Federal Network Agency to revise the current draft decision and, by introducing an effective service provider obligation, to provide an impetus for fair competition in order to break up the prevailing oligopoly in mobile communications – for the benefit of the economy and consumers.”

About BREKO

Als führender Glasfaserverband mit mehr als 510 Mitgliedsunternehmen setzt sich der Bundesverband Breitbandkommunikation e.V. (BREKO) erfolgreich für den Wettbewerb im deutschen Telekommunikationsmarkt ein. Seine Mitglieder setzen klar auf die zukunftssichere Glasfaser und zeichnen für mehr als die Hälfte des Ausbaus von Glasfaseranschlüssen in Deutschland verantwortlich. Die über 260 im Verband organisierten Telekommunikations-Netzbetreiber versorgen sowohl Ballungsräume als auch ländliche Gebiete mit zukunftssicheren Glasfaseranschlüssen. Im Jahr 2023 haben sie dafür 4,8 Milliarden Euro investiert. Weitere Informationen finden Sie unter brekoverband.de.