Brussels, 28/06/2013 (Agence Europe) - Alternative operators are absolutely necessary for new networks to be deployed. They must therefore benefit from a framework that is investment-friendly, in a fully competitive environment. That was the message reiterated by the members of ECTA, the association that covers the interests of new operators, on 25 June during a conference devoted to completion of the single market in the telecommunication sector. The 2013 Digital Agenda Scoreboard confirmed the role played by new entrants in the deployment of new generation networks and their contribution to the objectives of the digital agenda, says Tom Ruhan, ECTA President. In his view, there is no point in setting up new successful networks unless services available for consumers and business follow suit. He says: “Building new networks is pointless if consumers do not actually use them. (…) The sector's biggest problem is the lack of take-up due to the lack of competition”.
According to ECTA, alternative operators (including cable operators) are the most active when it comes to deploying ultra-fast next generation broadband networks. The scoreboard highlights that new entrants provide 77.5% of NGA lines although their market share in the total fixed broadband market is only 57.7%. A lack of competition lies at the origin of this situation and, if it goes on, the European Union will not be able to reach the objective that it has set itself - of having 50% of users with access to ultra-fast broadband by 2020. Currently, only 2% of European households subscribe to such connections (connection speed above 100 Mbps). The gradual dismantling of the market power of former telecommunication monopolies, thanks to the body of rules set in place by the European Union, has made it possible for most Europeans to benefit from reasonable broadband internet prices and mobile services. Fair competition between operators must remain the number one aim if the EU is to move forward towards completing the digital market, which cannot be done without a sound regulatory framework, ECTA says. The new operators underline that there must be access - at a reasonable tariff - to the current networks managed by the incumbent operators, failing which they will not be able to continue their investments in order to deploy the new networks. (IL/transl.jl)