2017 Italy - Telecoms, Mobile and Broadband - Statistics and Analyses

Italian government steps in to invoke special powers over Telecom Italia

Italy’s large telecom market has one of the highest mobile penetration rates in Europe and has benefitted from progressive government programs aimed at developing the fibre broadband sector. The number of broadband subscribers is growing steadily though the DSL segment has begun to contract as subscribers are migrated to the fibre platform. The fibre sector is spearheaded by efforts from Telecom Italia and supplemented by investments from other telcos and municipal governments. Regulatory measures have also been introduced to facilitate access to NGNs, while the government is investing €4 billion to provide broadband across the country. The wholesale provider Open fibre has thus far secured two of the three tenders to extend fibre-based broadband access to underserved areas.

The vibrant mobile market has undergone considerable changes in recent years following the merger of Wind and 3 Italia to become Wind Tre in January 2017. As a result of the merger the market gained a new entrant in the form of Iliad, which secured access to spectrum and to part of Wind Tre’s infrastructure to enable it to offer services while its own network is being developed. Services are expected to be launched in early 2018, and given the success of its operations in its home market of France the company is expected to make considerable waves in the Italian mobile segment.

Network operators have also been among the first in Europe to trial services based on 5G. To this end they have been helped by the regulator which made available spectrum in the 3.5GHz band and assigned a number of cities which are the test-beds for future services.

This report analyses the key aspects of the Italian telecom market, providing the latest data and statistics on the country and the fixed network services sector. It also reviews the main regulatory issues including number portability and local loop unbundling. In addition the report covers the fixed-line and mobile broadband markets, including the burgeoning fibre sector. The report also reviews the mobile market, including statistics, regulatory issues and an assessment of mobile data services. It profiles the major providers and assesses the impact of emerging technologies on their strategies for coming years.

Key developments:

• Government steps in to invoke special powers over Telecom Italia;
• Global Cloud Xchange announces plans to build the EAGLE submarine cable system linking Italy to Hong Kong;
• FiberCo coordinating fibre deployments to 20 million people in 15 cities;
• Telecom Italia commits to deliver FttP/FttB to an additional 138 cities by 2018, reconsiders spinning off access network into separate company;
• Infratel opens consultation on third broadband project;
• Regulator consults on extending 3.5GHz licenses; Fastweb delivering 500Mb/s service to 7.5 million premises;
• Milan’s Metroweb acquired by Enel;
• Fastweb joins TIM in fibre venture;
• TIM’s LTE trials reach speeds of 1Gb/s;
• Vodafone Italy and TIM settle into NB-IoT services over their LTE networks;
• Vodafone Italy extends its 550Mb/s LTE-A service to seven cities;
• Government selects operators for 5G technology trials in five cities;
• Regulator extends 3G licences to 2029 and GSM licences to 2027;
• Spectrum auction opens up LTE sector and delivers €3.945 billion for the government;
• MVNO customer base exceeds 7.2 million;
• Report update includes the regulator’s market data to June 2017, telcos’ operating and financial data to Q3 2017, recent market developments.

Companies mentioned in this report:

Telecom Italia (TIM), Fastweb, BT Italia, Tiscali, Metroweb, Vodafone Italy, Wind Tre (3 Italia / Wind Telecom).