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Spain: CNMC speaks out against public funding for broadband operators

By  |  March 27, 2018

The National Commission of Markets and Competition (CNMC) has urged the Ministry of Energy, Tourism and Digital Agenda not to grant public funds to Telefónica, Vodafone and Orange for aid in the deployment of broadband infrastructure to remote areas where operators have a legal obligation to offer coverage.

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    The CNMC recalled that, in the auction process for the 800 MHz broadcast spectrum band, one of the conditions imposed on the awardees was that they had to jointly reach a level of coverage that would allow access at a speed of 30 Mbps or greater to at least 90% of Spain’s citizens.

    The CNMC points out that, given the proximity of the marked time limit and the fact that there are many initiatives for public aid grants to deployment (both granted and in development), it is “necessary” that future auctions take into account these coverage obligations. Likewise, it has suggested the Ministry that it should take into account the distribution of coverage between the three operators, the design of their networks, and the proximity of their locations to other broadband infrastructure deployed by other operators.

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