Just as I was done writing up the article on the Singapore government deploying a FTTH network as basic infrastructure (to create a more competitive broadband services market), I came across this piece in the Wall Street Journal today (subscription required) on a European Commission report which says the telecoms incumbents still have too much market power:Just as I was done writing up the article on the Singapore government deploying a FTTH network as basic infrastructure (to create a more competitive broadband services market), I came across this piece in the Wall Street Journal today (subscription required) on a European Commission report which says the telecoms incumbents still have too much market power:
Eight years after deregulating Europe’s telecommunications markets, a European Commission report published yesterday found that incumbents such as Deutsche Telekom AG retain too strong a grip on markets. This control is particularly strong over fixed-line and mobile markets, the report says. The report finds competition is working to cut prices for customers and offer them new services, but that additional regulation may be required. Such a prospect pleases start-ups, while infuriating former monopoly incumbents that contend that the newcomers no longer require protection. In particular, the dispute focuses on the construction of new infrastructure, with incumbents arguing that they shouldn’t be forced to allow newcomers inexpensive access.
To read the entire article, click here (subs only). We can expect the EU to force these incumbents to open up their networks even more, or to encourage local governments to deploy fiber networks as an alternative to the incumbents.
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