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TIM considers fibre-only tie-up with rival

26 Jun 2019

Telecom Italia (TIM) is considering a plan to restrict its possible tie-up with wholesale network operator Open Fiber to the companies’ respective fibre businesses in an effort to reduce competition concerns. A report from Reuters says the strategy would see Flash Fiber – a joint venture owned 80% by TIM and 20% by ISP Fastweb – merged with Open Fiber, which is owned 50:50 by state lender and TIM shareholder Cassa Depositi e Prestiti (CDP) plus utility group Enel. The other option – a full takeover by TIM of Open Fiber – could raise eyebrows with competition authorities as the bulk of the fixed line infrastructure in Italy would then be under a single roof. The two options are due to be discussed by the TIM board tomorrow (27 June). A decision is unlikely to be made in the short term due to the complexity of the issue, Reuters notes. TIM confirmed last week that it had begun formal negotiations with CDP and Enel to discuss a potential integration of Open Fiber and TIM.

Italy, Fastweb, Open Fiber, Telecom Italia (TIM)

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