Brussels, 14/07/2011 (Agence Europe) - Neelie Kroes, Commissioner for the Digital Agenda, met CEOs of the largest telecommunications companies and providers of European content on Wednesday 13 July to take stock of how new generation networks are being deployed in Europe, and above all to consider why investment in these networks remains timid.
For several months now, the European Commission has been discussing with the telecoms industry to give fresh impetus to investment, essential to meet high-speed and broadband targets. After the commissioner's discussion partners had expressed their concern at maximising the return on investment that they consider their due in an environment that is too rigid and too regulated, Kroes called on them to give greater consideration to the wider general interest, saying: “While it is understandable that commercial players try to maximise their own advantages, we also need to recognise that we have common interests. We all want Europe to catch the high-speed broadband train”. Although there was no consensus, there was a genuine awareness and discussion on other interesting ideas, Kroes said. The commissioner will take the time necessary to consider the points of view put forward in order to adopt measures that best uphold the interests of the various stakeholders concerned.
Three issues were discussed during the roundtable on broadband investment to sustain internet growth: (1) open access, interoperability and connectivity; (2) the NGA (next generation access) investment framework and financing; and (3) the sustainability of the internet ecosystem. After the discussions, Neelie Kroes drew several conclusions:
- Effort must be stepped up to achieve the Digital Agenda's broadband targets. Current investment is too low and will not allow the target of high speed availability for all citizens by 2013. Also, the level of roll-out of high-speed networks varies greatly from one member state to the next.
- There is uncertainty regarding NGA roll-out. In the short term, the future relationship between copper and NGA and between fixed and wireless networks is hard to predict with certainty. This uncertainty must be addressed to reassure investors.
- The market must be consolidated. Europe needs healthy companies willing and able to invest. Sufficient scale and specialisation achieved through further consolidation are overall market trends that Europe should encourage, in full respect of competition rules. Pan-European companies should help market integration and the emergence of truly pan-European services, which are not sufficient today.
- A coherent approach. A single, binding European regulatory framework is needed, in cooperation with the Body of European Regulators for Electronic Communications (BEREC), to guide national regulators so that there is a coherent approach on every matter of relevance to move forward towards the broadband targets.
- Open and interoperable standards are needed for next generation products. New networks must function efficiently and operators must develop standardised wholesale products, thereby driving innovation and competition.
- Importance of commercial negotiation. The key players of the industry must cooperate with each other and seal agreements for the innovation and development of new models. The Commission will study this aspect with great care, with the support of BEREC, and will take stock of the situation by the end of 2011. (I.L./transl.jl)
