LEADING EUROPEAN STUDY SHOWS BUSINESS CASE FOR NEXT GENERATION BROADBAND FAVOURS FORMER INCUMBENTS

Economics of fibre networks prevent widespread replication

ECTA calls for mandatory access to fibre networks in the EU Telecoms Framework to counter anti-competition threat

Brussels, 25 June 2008 – Definitive research, released today at the High Speed Europe conference, is the first to analyse the business case of rolling out next generation fibre networks across Europe. The study, carried out by WIK, one of Europe’s leading telecoms research and analysis firms, shows overwhelming that only incumbent operators, with their extensive infrastructure and customer bases, can profitably roll out high speed fibre to the home (FTTH) lines to large parts of Europe. This raises the possibility that incumbents could once again increase their market share reversing the trend towards more competition in telecoms.

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