The development of very high capacity networks has been accompanied by a flurry of different business models throughout the EU: from vertically integrated local initiatives, co-investment projects, traditional vertically integrated networks run by incumbent or cable operators to wholesale-only networks.
The different patterns observed across member states reflect differences in the typology of the legacy networks, housing habits (houses vs. apartments), density of population, market developments, and competitive pressure...
Following our BITS seminar on co-investment in 2017, we explored another business model: wholesale-only networks.
The purpose of this BITS Seminar was:
- to take stock of the recent trends in financial markets with respect to investments in the telecom sector;
- to better understand the profiles of investors in wholesale-only networks vs. investors in vertically integrated operators;
- to discuss the relevant provisions of the EECC on wholesale-only undertakings (art 77);
- to debate the appropriate level of investment for wholesale-only networks: passive vs. active infrastructures;
- to speculate on the relative role to be played by wholesale-only in the rolling out of very high capacity networks; and
- to assess the impact of wholesale-only networks on competition.
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