Telekom, EWE confirm FTTH joint venture

14 Dec 2017

Telekom Deutschland, the domestic fixed and mobile operating unit of Deutsche Telekom (DT), has signed an agreement with regional operator EWE to establish a joint venture for the deployment of fibre-optic access networks. The cooperation between the two companies aims to connect more than one million homes and apartments to fibre-to-the-home/building (FTTH/B) infrastructure in the northwest. The pair plan to work together in the states of Lower Saxony, North Rhine-Westphalia and Bremen, with each of the two partners holding a 50% stake in the planned joint venture, which will also open up its networks to third party service providers for use at commercial terms. The ten-year time frame for the network expansion calls for the joint venture to invest up to EUR2 billion (USD2.4 billion), with a priority on rural areas, and with operations scheduled to begin in mid-2018.

‘The cooperation will make the fibre-optic expansion considerably more cost-effective, and it will help us make an important contribution to the region’s infrastructure competition,’ noted DT’s CEO Tim Hoettges, adding: ‘The key is that FTTB and FTTH accesses will no longer be regulated. That is a central prerequisite for the joint project, and we are having talks with the Federal Network Agency.’