Movistar Espana slowing fibre network rollout as a result of regulator’s wholesale proposals

15 Jan 2015

Spanish telecoms giant Telefonica has reportedly directed its domestic unit Telefonica de Espana, which offers services under the Movistar banner, to slow the rate of deployment for its fibre network, according to Expansion.

Such direction comes in the wake of the launch of a public consultation last month by local telecoms regulator the Comision Nacional de los Mercados y la Competencia (CNMC), in which it proposed that Movistar would be required to lease access to its fibre-optic network at regulated prices to rivals nationwide, bar nine cities where a high enough level of competition exists, those being: Madrid, Barcelona, Alcala de Henares, Badalona, Coslada, Malaga, Mostoles, Sevilla and Valencia.

With Movistar having previously said it planned to have extended its fibre network footprint to a total of 5.5 million households by the end of 2015, it is understood that it now only expects to reach 3.6 million premises by that date. A final decision regarding the possibility of halting deployment entirely is believed to remain under consideration, meanwhile, as the company continues to study the regulator’s proposals and awaits a final decision by the CNMC.