EU sets 30 per cent broadband target for 2010
The European Commission wants to raise broadband Internet penetration in the European Union to 30 per cent in 2010 from 20 per cent in an effort to drive economic growth, its top telecoms regulator said on Wednesday.
By Agencies |
BRUSSELS:The European Commission wants to raise broadband Internet penetration in theEuropean Union to 30 per cent in 2010 from 20 per cent in an effort to driveeconomic growth, its top telecoms regulator said on Wednesday.
Information SocietyCommissioner Viviane Reding said only eight of the bloc's 27 member states wereahead of the United States in broadband use, with Denmark, Finland, theNetherlands and Sweden world leaders with nearly a third of homes hooked up.
"These EU countries, togetherwith the United Kingdom, Belgium, Luxembourg and France, all had broadbandpenetration rates higher than the United States in July 2007," Reding said inher annual update on competition in telecoms markets.
Broadband use in Europereached 20 percent overall, still lagging the 22.1 percent in the United States.
Reding said she wantsbroadband penetration to hit 30 percent by 2010 and that her proposed reforms ofthe telecoms market would help the bloc reach this target.
Reding sees increasing the useof broadband as key to boosting competition in the retail sector, offeringconsumers more choice and driving down prices.
Broadband is also seen as keyto helping set up new businesses, particularly in more remote regions.
She said she was confidentthat her reforms, now before the European Parliament and EU states for approval,would be adopted by April 2009 when parliamentary business winds down ahead ofEuropean elections in June.
The EU's 300 billion euro($470 billion) telecoms market grew 1.9 percent last year when it saw investmentup for a fifth year running, which showed EU telecoms rules were having animpact on boosting competition, Reding said.
"However, the job is not yetdone. Competition is limited for access to the fixed network which is stillprovided to 86.5 percent of customers over the incumbent's infrastructure," shesaid in reference to former state-owned monopoly operators such as DeutscheTelekom and France Telecom .
Reding said the charges leviedby one mobile phone operator for handling another's calls were far too high andneeded tackling.
Investment intelecoms in the EU last year was over 50 billion euros, in line with the UnitedStates and higher than in China and Japan combined, she said.
Some 19 million broadbandlines were added in the EU in 2007, the equivalent of more than 50,000households every day in a sector that generated estimated revenues of 62 billioneuros.
Former monopolyoperators have accused Reding of wanting to over-regulate and make it harder tojustify investment but new entrants welcomed her comments on Wednesday.
ECTA, a lobby which representsnew entrants, said incumbents just wanted to protect their strong market shares.
Information SocietyCommissioner Viviane Reding said only eight of the bloc's 27 member states wereahead of the United States in broadband use, with Denmark, Finland, theNetherlands and Sweden world leaders with nearly a third of homes hooked up.
"These EU countries, togetherwith the United Kingdom, Belgium, Luxembourg and France, all had broadbandpenetration rates higher than the United States in July 2007," Reding said inher annual update on competition in telecoms markets.
Broadband use in Europereached 20 percent overall, still lagging the 22.1 percent in the United States.
Reding said she wantsbroadband penetration to hit 30 percent by 2010 and that her proposed reforms ofthe telecoms market would help the bloc reach this target.
Reding sees increasing the useof broadband as key to boosting competition in the retail sector, offeringconsumers more choice and driving down prices.
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Broadband is also seen as keyto helping set up new businesses, particularly in more remote regions.
She said she was confidentthat her reforms, now before the European Parliament and EU states for approval,would be adopted by April 2009 when parliamentary business winds down ahead ofEuropean elections in June.
The EU's 300 billion euro($470 billion) telecoms market grew 1.9 percent last year when it saw investmentup for a fifth year running, which showed EU telecoms rules were having animpact on boosting competition, Reding said.
"However, the job is not yetdone. Competition is limited for access to the fixed network which is stillprovided to 86.5 percent of customers over the incumbent's infrastructure," shesaid in reference to former state-owned monopoly operators such as DeutscheTelekom
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Reding said the charges leviedby one mobile phone operator for handling another's calls were far too high andneeded tackling.
Investment intelecoms in the EU last year was over 50 billion euros, in line with the UnitedStates and higher than in China and Japan combined, she said.
ADVERTISEMENT
Some 19 million broadbandlines were added in the EU in 2007, the equivalent of more than 50,000households every day in a sector that generated estimated revenues of 62 billioneuros.
Former monopolyoperators have accused Reding of wanting to over-regulate and make it harder tojustify investment but new entrants welcomed her comments on Wednesday.
ECTA, a lobby which representsnew entrants, said incumbents just wanted to protect their strong market shares.
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