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Europe needs € 300 billion to deploy 5G networks

Europe needs to invest 300 billion euros in its telecommunications infrastructure by 2025 if it wants to roll out a 5G network to accelerate economic growth and harness the potential of the technology. Such an assessment is contained in a study conducted by the consulting firm BCG.
The study, commissioned by telecommunications lobbying group ETNO, was carried out as the European Union is pinning its hopes on 5G to emerge from the recession caused by the COVID-19 pandemic.
European carriers are reluctant to invest in the 5G networks that smart factories and self-driving cars need, due to the huge costs. At the same time, they complain that plans for mergers that would help master these costly projects have been blocked by EU antitrust rules.
Delays in auctioning off the radio spectrum required for 5G also played a negative role. The delays are caused by governments shifting their focus to tackling the pandemic.
The study suggests several measures that governments and regulators could take to develop the telecommunications industry.
One of them is the introduction of new ownership models that ensure infrastructure sharing. Another proposal is to ease restrictions on telecommunications service providers’ cooperation and joint investments. The study also called on carriers to allow monetization of data traffic on their networks to catch up with competitors including Google, Facebook, Microsoft and other tech giants.
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