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Broadband, meaning faster, better quality access to the internet, is becoming increasingly important not only for business competitiveness, but also for helping social inclusion. As part of its Europe 2020 strategy, the EU has set targets for broadband, including fast broadband availability for all Europeans by 2020. To support these objectives, the EU has made some 15 billion euro available to Member States in the period 2014-2020. We found that broadband coverage has generally been improving across the EU, but that the Europe 2020 targets will not all be achieved. Rural areas, where there is less incentive for the private sector to invest, remain less well connected than cities, and take up of ultra-fast broadband is significantly behind target.
This original CERRE report reveals that the current level of public funds to support broadband deployment in Europe is insufficient compared against the ambitious targets for fibre to the home (FTTH). The report also suggests that the use of this funding is poorly co-ordinated, insufficiently monitored, and subject to rules which need to be simplified and updated. It is the first study of its kind: the authors have undertaken a systematic analysis of all of the 157 broadband measures notified to the European Commission by Member States over the past 15 years. Based on this research, the authors have identified critical issues and provided recommendations on how to better support the deployment of broadband infrastructure in Europe. The authors estimate that public funding from all sources to support broadband deployment in the period to 2020 amounts to around €7 billion per year. At this rate it will take Europe nearly 30 years to meet its FTTH targets. They also find wide variations in public funding for broadband between Member States: in the period 2003-18 France spent around €215 per capita and Italy €145, whilst the majority of Member States spent less than €100 per capita and some less than €10. “We found that broadband infrastructure receives less than 5% of available European funds, despite being a strategic priority for Europe and for the Juncker Commission”, said CERRE Research Fellow Richard Feasey. “Current public funding is insufficient if Europe is to achieve its Gigabit Society targets. It is equally important that whatever public funds are allocated, they are also used efficiently”. The authors provide recommendations for EU and national policy makers, including: 1. Mobilise grassroots interests in public funding of broadband with an EU-wide competition for funds. 2. Improve coordination between the European Investment Bank and the European Commission’s DG Competition to ensure that in each case the appropriate public funding instrument is used. 3. Increase the share of European funds allocated to broadband. 4. Revise the existing ‘Broadband State Aid Guidelines’ now to clarify elements such as: - when and how public funds can be used if commercial operators have no plans to deploy Very High Capacity infrastructure; - require that State Aid can only be used once adoption rates for a new technology have achieved certain thresholds in areas where it has already been deployed by the private sector; - consider allowing higher prices for broadband services provided by publicly funded networks in order to reduce the cost to the taxpayer and increase the coverage that can be obtained; - explain how the universal service provisions of the new EU Electronic Communications Code will ensure that all users can benefit from affordable access to publicly funded broadband networks; - simplify the regime so that measures to protect competition align with those that already apply to commercially-funded networks under the Significant Market Power regime and ensure enforcement. 5. Require Member States to provide more data to enable the evaluation of the effectiveness of State Aid measures. ‘Effectiveness’ should be measured by whether public funds achieve the goal of extending broadband services to the greatest number for the lowest cost to the taxpayer, and not simply in terms of competition or the time taken to approve the project. “If broadband infrastructure deployment is a priority for the EU, we think that the Commission should also explore how to formalise its Digital Agenda and Gigabit Society targets, to give Member States stronger incentives to meet those targets”, conclude the authors. Some facts and figures - Europe spends less than 5% of its budget on broadband - 65% of public funding for broadband comes from Member States - Estimated public funding from all sources allocated to broadband deployment in the EU in the period to 2020 amounts to around €7 billion per year - It will take Europe 29 years to complete FTTH deployment at current rates - Total expenditure by EU Members States for State Aid varies significantly - In the period 2003-18, the majority of Member States spent less than €100 per capita and some less than €10 - France spent around €215 per capita, Italy €145, and Germany €87 - Belgium, Luxembourg and Malta have achieved a relatively extensive and high capacity broadband deployment without relying on any form of State Aid whatsoever - There is a very large variation in the use of sources of funding by Member States
The Brussels Round Table, a forum of leading EU telecommunications operators and equipment manufacturers, commissioned these articles. They examine the deployment of broadband in European countries and make policy recommendations related to telecommunications regulation. Specific topics include pricing flexibility, competition, growth potential, likely future dynamics, competition, investment opportunities, eliminating excess regulation, facilitating longer-term points of view, and suggestions for transparent and competition-neutral subsidies.
The Broadband Coverage in Europe study is designed to monitor the progress of EU Member States toward their specific broadband coverage objectives - namely: 'Universal Broadband Coverage with speeds at least 30Mbps by 2020' and '50% of households should have broadband subscriptions of 100Mbps or more by 2020'. This report covers thirty-one countries across Europe - the EU 27, plus Norway, Iceland, Switzerland and the UK, and analyses the availability of ten broadband technologies (DSL, VDSL, VDSL2 Vectoring, cable modem DOCSIS 3.0, DOCSIS 3.1, FTTP, FWA, LTE, 5G and satellite) across each market, at national and rural levels. In addition, various combination categories indicating the availability of one or more forms of broadband connection are also published. These cover overall fixed broadband availability, next-generation access (NGA) availability and overall FTTP & DOCSIS 3.1 availability. Europe-wide overview, country comparisons and year-on-year trends are provided in this report. Additionally, broadband coverage developments in study countries are discussed in individual country chapters. The Broadband Coverage in Europe study is designed to monitor the progress of EU Member States toward their specific broadband coverage objectives - namely: 'Universal Broadband Coverage with speeds at least 30Mbps by 2020' and '50% of households should have broadband subscriptions of 100Mbps or more by 2020'. This report covers thirty-one countries across Europe - the EU 27, plus Norway, Iceland, Switzerland and the UK, and analyses the availability of ten broadband technologies (DSL, VDSL, VDSL2 Vectoring, cable modem DOCSIS 3.0, DOCSIS 3.1, FTTP, FWA, LTE, 5G and satellite) across each market, at national and rural levels. In addition, various combination categories indicating the availability of one or more forms of broadband connection are also published. These cover overall fixed broadband availability, next-generation access (NGA) availability and overall FTTP & DOCSIS 3.1 availability. Europe-wide overview, country comparisons and year-on-year trends are provided in this report. Additionally, broadband coverage developments in study countries are discussed in individual country chapters.
Broadband is a key enabler of the information society, increasing productivity and competitiveness across all sectors of the economy. Unlike traditional n- rowband connections, broadband provides high speed, always-on connections to the Internet and supports innovative content and services. Direct consumer welfare gains from mass-market adoption of broadband across the EU could easily reach 50 billion euros or more per annum. This is quite apart from the more profound societal shifts that ubiquitous broadband could bring. It may allow the individual to distribute content and ideas independent of traditional media and bring together communities of interest without regard to borders. Public policy for broadband will have a big impact on whether and how quickly these bene?ts are realised. Getting policy right could bring large bene?ts for consumers, ?rms and the economy at large; getting policy wrong risks s- ?ing both the rollout of broadband and new innovative services, and thus the realisation of the EU’s e-Europe vision. In this book, we focus on the residential market for broadband access in EU countries, analysing the current and prospective level of competition and dr- ing implications for public policy. A key aim is to understand better the relative importance of facilities-based and access-based provision in fostering com- tition and promoting take-up of broadband services.
Over the past two years, the debate on the review of the EU regulatory framework for electronic communications has become hectic. After the European Commission adopted its proposed set of measures in November 2007, the European Parliament has shown an unprecedented interest in topics such as spectrum policy, functional separation of the incumbents' networks, the creation of a new European authority on telecoms, etc. After the successful experience of the first CEPS Task Force on "Policy Challenges for the Information Superhighway", which ended in June 2006, a new Task Force on "Achieving the Internal Market for e-communications" was launched by CEPS with the explicit aim to provide expertise to Members of the European Parliament in their reading of the proposed review. The Task Force was chaired by Magnus Lemmel, former Acting Director General at DG Enterprise, European Commission, and currently Senior Advisor at KREAB. This report summarises the results of the opinions that were expressed over five meetings, the last two of which took place inside the European Parliament. This highly influential report was drafted by Andrea Renda, Senior Research Fellow at CEPS.
Europe enlarged its boundaries in 2004 with the accession of ten new member states to the European Union. The creation of an effective information society is seen as critical to the global competitiveness of Europe. Based upon detailed data collection and rigorous analysis, the book presents a benchmarking study of the 10 new member states and 3 candidate countries of the European Union as compared to the 15 incumbent countries with respect to the development of their information societies. Using a framework based on the Europe 2005 benchmarking framework, the 28 EU members and candidate countries are ranked according to their level of information society development, and then classified into 4 categories. The results presented in this book are of importance to all managers and companies doing business in the IT sector in the European Union.
This extensively revised and updated third edition of EU Internet Law offers a state of the art overview of the key areas of EU Internet regulation, as well as a critical evaluation of EU policy-making and governance in the field. It provides an in-depth analysis of the ways in which relevant legal instruments interact, as well as comparative discussions contrasting EU and US solutions.
First in-depth analysis of broadband developments in Europe, combining qualitative and quantitative analysis, with chapter contributions provided by in-country experts.
The Broadband Coverage in Europe study is designed to monitor the progress of EU Member States toward their specific broadband coverage objectives – namely: ‘Universal Broadband Coverage with speeds at least 30 Mbps by 2020’ and ‘Broadband Coverage of 50% of households with speeds at least 100 Mbps by 2020’.