TIM signs new agreement with Open Fiber

Telecom Italia (TIM) has signed a new agreement with fibre operators Open Fiber that allows for the reuse network infrastructure in ‘white areas’, where the development of fibre has been financed by public expenditure.

TIM said the agreement marked the beginning of a new phase in the relations between the main Italian infrastructure operators, and would aim to ensure a more efficient use of resources, with a view to speeding up progress in covering Italy with fibre.

Open Fiber has been awarded three public tenders from Infratel to operate fibgre networks in the ‘white areas’. The deal with TIM means that it will purchase right of use of aerial infrastructure and access to customers’ homes from TIM’s Fiber Cop subsidiary.

TIM said the agreement would enable Open Fiber to significantly speed up network construction and delivery in white areas.

Pietro Labriola, TIM’s CEO said: “I am proud of this agreement, which represents a further step forward in the execution of our asset enhancement strategy. Through this transaction we create a new source of revenue, generating value for the Group and its shareholders. The deal also provides a concrete response to the need for connectivity of citizens, businesses, and local administrations that to date have not had access to the opportunities and benefits offered by digital technology. Furthermore, this partnership shows just how important it is to have open, collaborative dialogue with the other operators, in a market that is increasingly competitive and strategic for the country.”

Mario Rossetti, Open Fiber’s CEO, said: “We are very happy with the agreement reached, which opens up a new page of constructive collaboration in our mutual interests and those of the country. The agreement is, in fact, even more significant in the current context of scarcity of labour and increased commodity prices; making investments quicker and more efficient is therefore not only rational but also necessary. The white areas, in particular, are a focal point for us, on which the company’s business is concentrated, considering the major social-economic impacts deriving from the reduction of the digital divide in internal areas, through implementing the UBB Plan.”