ROME (ITALY) – The Italian government told state-controlled utility Enel that it should reach an agreement with Telecom Italia by the end of July on plans to create a single broadband network for the country.
To bridge the digital gap with the rest of Europe, Italy has been gunning for a unified network combining Telecom Italia’s (TIM) assets with those of Open Fiber, which is owned by Enel and state lender Cassa Depositi e Prestiti (CDP).
For more than a month, TIM has been in talks over a merger of its fibre network assets with those of Open Fiber. However, differences over issues such as governance and regulation have brought the talks to a grinding halt.
The request was made by Economy Minister Roberto Gualtieri, saying a memorandum of understanding has to be signed by the end of the month. This was made during a meeting with Enel Chief Executive Francesco Starace late on Friday.
The minister’s deadline is the most solid step taken so far to break the stalemate over the network.
“Rome is pushing for a memorandum of understanding by end-July,” said the source.
(Photos syndicated via Reuters)
This story has been edited by BH staff and is published from a syndicated field