The EU Commission said on Monday it approved a two billion euro Italian scheme to support the rollout of 5G mobile networks through the Recovery and Resilience Facility, according to a press release.
“This will enable consumers and businesses to access high-quality 5G services, contributing to the economic growth of the country and to the EU’s strategic objectives relating to the digital transition”, EU Commission vice-president Margrethe Vestager said in a statement.
Under the scheme, which will run until 30 June 2026, the aid will take the form of direct grants to electronic communications services providers.
The rollout plan includes direct aid in the form of grants to services providers. The purpose of this financing would be to provide the necessary infrastructure by 2026 to ensure mobile speeds of at least 150 Mbps download and 30 Mbps upload in underserved areas of the country, not expected to be reached by commercial offerings.
In its decision, the EU Commission found The measure to be necessary and proportionate in addressing this market failure, with no planned mobile networks that would adequately cover the users in these areas. The plan was also considered an overall incentive to the development of improved services, while including sufficient safeguards to prevent any foreseen distortions to competiton in this market.
Furthermore, the Commission considered, Broadband connectivity is a strategically important area for European growth and innovation across the entire economy, as well as improving social and territorial cohesion.
Based on the considerations above, the Commission agreed that the measure fulfilled the block’s State Aid rules in Article 107(3)(c) of the Treaty on the Functioning of the European Union.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
UK Probes Lindab’s Acquisition of HAS-Vent Amid Fears of Market Monopoly
Apr 28, 2024 by
CPI
Shein Faces EU Regulations Over User Data
Apr 28, 2024 by
CPI
Google Fights Back Against US Antitrust Lawsuit
Apr 28, 2024 by
CPI
US Homeland Security Establishes Blue-Ribbon Board with Tech CEOs to Advise on AI
Apr 28, 2024 by
CPI
FTC Accuses Amazon Executives of Using Disappearing Messaging Apps to Conceal Evidence
Apr 28, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI