Italian govt to summon TIM over fibre broadband plans

News Broadband Italy 20 JUN 2017
Italian govt to summon TIM over fibre broadband plans

Italy's ministry for economic development (MiSE) has announced that it intends to summon executives from Telecom Italia (TIM) to discuss the group’s fibre-optic broadband plans in underserved and rural areas. In a statement, industry minister Carlo Calenda said the government had no wish to prevent or hinder TIM’s investment but that it needed to respect legal commitments and the relevant European Community legislation for broadband expansion in non-economic viable areas. If TIM’s investment lacks that legal basis “the government will act to protect the public interest, as it’s obliged to do,” said Calenda.

The statement comes after TIM CEO Flavio Cattaneo reiterated that the former incumbent is determined to press ahead with its own plans to roll out infrastructure in so-called digital divide areas in direct competition with state-subsidised systems. "Our investments have already begun, we announced them in good time and according to the law... we will go ahead," Cattaneo told La Repubblica, adding that “the government's attack is that of a 'dirigiste' state."

The government recently awarded the first of several planned tenders to build a national fibre-optic broadband network to the Open Fiber wholesale-only venture of Italian utility Enel and state lender CDP. The same company has also reportedly submitted the highest bid in the second round of tenders after TIM withdrew and announced it was setting up a new company dedicated exclusively to the selective development of new fibre infrastructure in underserved areas of the country to compete with Open Fiber. 

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