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TI to sell off networks?

8 Sep 2006

There is speculation in Italy that Telecom Italia’s ongoing talks with News Corp could result in the telco undergoing a transformation into a media firm. Il Sole 24 Ore reports that Telecom Italia may sell off its cellular division TIM, raising around EUR35 billion to go towards repaying the bulk of its EUR41 billion debt. Meanwhile, Il Corriere della Sera suggests that the telco may dispose of its wireline assets for around EUR15 billion. Both moves would see TI losing control of its end-user connections, but it would then provide multimedia services, including News Corp’s media content.

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