The European Union (EU), is contemplating easing merger regulations for telecom companies while seeking contributions from Big Tech firms.
A document from the European Commission, set to be presented by Vice-President Margrethe Vestager on February 21, outlines potential measures to stimulate investment in next-generation networks.
The document highlights the current market scenario, citing approximately 50 mobile operators and over 100 fixed operators across the EU. It warns that the fragmented nature of the market, divided along national borders, could hinder operators’ ability to make the necessary investments in future networks, particularly for cross-border services. Consequently, the EU is exploring the possibility of facilitating cross-border consolidation or cooperation among operators to achieve the scale required for substantial investment while maintaining healthy competition.
Such a fragmented market “along national borders could impact the ability of operators to reach the scale needed to invest in the networks of the future, in particular in view of cross-border services,” the paper said.
Furthermore, the document suggests broadening the scope of current telecom regulations to encompass the evolving landscape of electronic communications networks and cloud services. This expansion aims to ensure equitable treatment and obligations for all stakeholders and end-users in digital networks, regardless of their specific roles or services.
