11.11.2019
DGAP-News:Telefónica Deutschland Holding AG: Telefónica Deutschland cooperates with Deutsche Telekom and Vodafone in network expansion
DGAP-News: Telefónica Deutschland Holding AG / Key word(s): Letter of
Intent/Alliance
Telefónica Deutschland Holding AG: Telefónica Deutschland cooperates with
Deutsche Telekom and Vodafone in network expansion
11.11.2019 / 12:15
The issuer is solely responsible for the content of this announcement.
Munich/Bonn/Dusseldorf, 11 November 2019
Telefónica Deutschland cooperates with Deutsche Telekom and Vodafone in
network expansion
Deutsche Telekom, Telefónica Deutschland and Vodafone have agreed to join
forces in expanding their networks with the goal to ensure the best possible
mobile broadband coverage for customers throughout Germany, especially in
rural areas and along roads, railways and rivers. Their coverage has been
imposed on the network operators as part of the 2019 frequency auction. The
three telecommunications providers plan to build up to 6,000 new mobile
sites in a coordinated manner. Telefónica Deutschland thus now signed a
respective letter of intent. 1&1 Drillisch is invited to join the
cooperation provided the willingness to contribute equally in the rollout
plans.
The joint construction of additional radio masts and towers as well as their
technical connectivity and use significantly saves time and costs compared
to an individual rollout. The companies involved will set up an equal number
of new sites, which all partners may use under the same conditions to set up
their own antennas and network technology.
After having invested around EUR 6.5 billion altogether in the 2019
frequency auction, the agreed cooperation serves to largely close white
spots in sparsely populated regions and along traffic routes in an
economically viable way. The coverage requirements imposed by the Federal
Network Agency (BNetzA) as part of the 2019 frequency auction require
investments in the billions from the telco operators. All three companies
still consider these conditions disproportionate and unlawful, which is why
they are upholding their ongoing lawsuits. Reality also shows that citizens'
initiatives and administrative hurdles often slow down network expansion in
those regions where it is most needed.
The coverage of traffic routes has been imposed on the operators as part of
the frequency auction rules. The planned agreement will enable network
operators to offer their customers a comprehensive a coverage along the
transport routes. An even further expansion should be supported by
appropriate state subsidies to close individual white spots. The network
operators are also prepared to work together within such a framework.
The Federal Cartel Office has been informed about the cooperation plans.
Already in the past, BNetzA has made clear that it considers a joint use of
infrastructure as essentially sensible. Further details of the cooperation
are to be contractually agreed by spring 2020 at the latest. The joint
network rollout planning could start soon thereafter.
More information:
Telefónica Deutschland
Investor Relations
Georg-Brauchle-Ring 50
D-80992 München
t +49 (0)89 2442-1010
f +49 (0)89 2442-2000
e ir-deutschland@telefonica.com
11.11.2019 Dissemination of a Corporate News, transmitted by DGAP - a
service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
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Language: English
Company: Telefónica Deutschland Holding AG
Georg-Brauchle-Ring 50
80992 München
Germany
Phone: +49 (0)89 24 42 0
Internet: www.telefonica.de
ISIN: DE000A1J5RX9
WKN: A1J5RX
Listed: Regulated Market in Frankfurt (Prime Standard);
Regulated Unofficial Market in Berlin, Dusseldorf,
Hamburg, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 909351
MDAX TecDAX
End of News DGAP News Service
909351 11.11.2019