Europe’s biggest telecom operators have urged European Union policymakers to rethink regulations they say are restricting investment in connectivity, warning that rules on spectrum, fibre and cybersecurity could weaken the region’s technology ambitions.
In a joint statement, 17 European telecom executives called on the EU to “correct the course” of the proposed Digital Networks Act (DNA) and Cybersecurity Act (CSA), arguing that current policy reforms risk undermining investment and innovation in the sector.
The group includes Telefonica chairman and CEO Marc Murtra, Deutsche Telekom CEO Tim Hoettges, Orange CEO Christel Heydemann and Telenor Group president and CEO Benedicte Fasmer.
The executives said the mobile sector requires €475 billion to establish world-class networks, describing this as a level of investment that requires “a step change”.
The Digital Networks Act, unveiled by the European Commission in January, is intended to modernise and simplify connectivity rules, harmonise regulation, facilitate cross-border operations and promote investment in fibre and mobile networks.
However, the telecom chiefs said the proposed framework does not go far enough to improve the investment and innovation environment for European connectivity.
Spectrum licences
The operators called for spectrum licences to be granted indefinitely by default, with licence terms of at least 40 years in exceptional cases.
They argued that moving away from frequent spectrum auctions would allow operators to redirect capital towards 5G, fibre and future 6G deployment.
According to the group, European operators have spent €110 billion on spectrum licences over the past 12 years.
The CEOs also opposed mandated copper shutdowns, arguing that operators should determine when to retire legacy networks based on customer demand and market conditions.
European operators currently invest more than €30 billion annually in fibre-to-the-home (FTTH) networks, according to the statement.
Call for lighter regulation
The telecom companies also called for a shift away from regulations designed around legacy networks, arguing that regulation should remain a “safety net” as competition increases in the fibre market.
They urged EU policymakers to provide greater scope for innovation in advanced 5G and 6G services, including network slicing and quality differentiation.
On cybersecurity, the operators warned that CSA requirements to remove equipment from high-risk third-country suppliers, including Huawei, could lead to up to €40 billion in replacement costs for the sector.
They called instead for a “proportionate, risk-based approach” that takes alternative security measures into account.
The group said blanket replacement requirements could divert capital that would otherwise be used for fibre, 5G and 6G investment.
The executives said stronger connectivity would support growth in artificial intelligence, sovereign cloud and defence technology.
“As CEOs of Europe’s leading telecom companies, we are ready to play our part in delivering European tech leadership,” they said.
Other signatories included executives from TIM, KPN, Proximus, Swisscom and Liberty Global.
