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CMT Roundtable on the Competitive Impact of Universal Service

CMT Roundtable on the Competitive Impact of Universal Service. 23 November 2010. Introducing ECTA. ECTA represents more than 100 of the leading telecoms challengers across Europe delivering broadband, mobile and business services

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CMT Roundtable on the Competitive Impact of Universal Service

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  1. CMT Roundtable on the Competitive Impact of Universal Service 23 November 2010

  2. Introducing ECTA • ECTA represents more than 100 of the leading telecoms challengers across Europe delivering broadband, mobile and business services • ECTA Members are the primary innovators in the implementation of advanced telecommunications and broadband services e.g. first to launch dial-up Internet, high-speed broadband and affordable “triple play” bundles (TV, voice, BB) -- €30 for 100Mbit/s triple play from Iliad, 𝔰 Vodafone Portugal offering 300Mbit/s triple play. First to build high-speed fibre lines • ECTA’s business providers serve SMEs and multi-nationals with secure seamless communications across the single market • All our members believe in open access models for communications and offer open access on their own networks

  3. Meeting the economic and social challenges of the digital era • Where we are today: • At the end of 2008, fixed broadband networks covered almost 93% of the EU population (98% urban; 77% rural) • Spain - 93% urban and 90% rural coverage of fixed broadband networks • Ambitious EU-wide coverage targets: • 100% basic broadband access by 2013 • 100% broadband access of at least 30 Mbps by 2020 • Further, EU-wide take-up target: • 100 Mbps for 50% of subscribers by 2020

  4. Achieving Universal Access Effective competition + targeted state aid  broadband for all • Competition delivers market coverage, high speed, choice and affordability • Where private investment in NGA networks is not commercially viable, for example in sparsely- populated, rural or remote areas, targeted state aid is playing and will continue to play an important role in providing access to broadband • Important, complementary, role for wireless broadband (not substitutable for fixed)

  5. Competition is key to delivering higher speeds and lower prices UK: impact of unbundling on broadband prices and speeds Source: Analysys mason • Cutting the cost of LLU in UK, combined with functional separation, reduced the price of 8MBit/s from 300GBP to 20GBP

  6. Working towards universal access to 30 Mbps or above • Rigorous implementation of revised Telecoms Framework: Competition is not yet effective and a pro-competitive legal framework is needed to deliver affordable, high-speed broadband offers • Public funding of open networks with future-proof architectures in line with existing Community Guidelines: Universal service funding mechanisms have proven to be inefficient and sector-specific levies are likely to have a detrimental effect on competition and reduce the EU’s global competitiveness • Effective Spectrum Policy: Non-discriminatory, pro-competitive allocation of spectrum by Member States and opening up the Digital Dividend to wireless broadband services by 2013

  7. Thank you for your attention! Hubertus von Roenne hvonroenne@ectaportal.com

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