Cable Europe welcomes further deregulation

14 November 2007
by eub2 -- last modified 14 November 2007

Initial comments from Cable Europe on the European Commission proposals to review the regulatory framework for the telecoms and broadband market.

Cable Europe, representing the cable TV network operators in Europe, welcomes the Commission's approach to continue the deregulation of  the European broadband and communications markets, and to reduce the number of markets subject to regulatory scrutiny. Cable reaches more than 100 million homes and provides digital TV, broadband Internet, and fixed line telephony services to 70 million customers in Europe via its own, fully independent networks.

Manuel Cubero, President of Cable Europe, said: "The EU telecoms regulatory framework has been very successful to date, in particular in opening the market for new competitors all over Europe. Investors in new facilities-based infrastructures, such as advanced cable networks, have been stimulated to build credible alternatives to existing networks  In order to thrive going forward, cable needs a continued focus by European and national regulators on  infrastructure based competition."

Gradual deregulation: applied to market 18

Cable Europe is very supportive of the European Commission's decision, which is effective immediately, to limit the number of markets subject to mandatory regulatory scrutiny from 18 to 7. In particular, we welcome the Commission's decision to remove the wholesale broadcasting transmission services market (market 18). This decision highlights the the fast growing competition among new and existing television distribution platforms.

Functional separation: handle with care

The proposal of the European Commission to allow Member States to implement functional separation of the activities of incumbent telecom operators as a measure of last resort needs further study. Before taking such a heavy regulatory measure we would expect a full impact assessment to be made.  Such assessment has to take into account the full consequences for the investment decisions of cable and other infrastructure-based competitors, as these investors will be crucial in ensuring sustainable competition in the long run.

New telecom authority for telecom: not convinced

It seems contradictory for the Commission to deregulate an increasing part of the market, while at same time constructing  a new and sizeable regulatory body.  Instruments to harmonise the implementation of EU regulation in force today seem to work, in particular through the oversight by the EU Commission itself.  Cable Europe believes that continuing the effect role of the Commission whilst making the best use of the existing European Regulators Group and national competition authorities would be a more efficient and effective approach than the creation of a new body.

Spectrum reform: making best use of scarce resources

European Member States are in the process of replacing analogue terrestrial TV with more efficient digital terrestrial TV.  As a consequence,  radio spectrum will becomes available. Cable Europe believes that this "digital dividend" should be used in a fair and equitable way, not distorting competition

Cable Europe supports the European Commission in its effort to increase the efficiency of spectrum management and welcomes the recognition of spectrum as a key building block towards new digital services and fixed-mobile converging services.  It is important that regulators and the Commission ensure the licensing processes applied to all market players are competitive, transparent and fair.

Cable Europe, the European Cable Communications Association, groups all the leading European broadband cable communications operators and their national trade associations throughout Europe. The aim of Cable Europe is to promote and defend the industry’s policies and business interests at European and international level, and to foster co-operation among its members. The European cable industry services more than 70 million customers. In September 2006 the Association changed its name from 'ECCA' to 'Cable Europe'. The Association is active since 1951.

Cable Europe