Connect Europe has published a joint statement by 17 CEOs of European telecommunications companies, including Stan Miller, CEO of United Group — the leading telecommunications and media provider in Southeast Europe, of which Nova is a member — titled “Correcting the course to support European technological leadership.”
Key points of the joint statement:
- 17 CEOs of European telecommunications companies sent a statement to the European Commission, the European Parliament, and member states — including the three presidents, António Costa, Roberta Metsola, and Ursula von der Leyen — on the subject of European technological leadership.
- The initiative comes at a time when EU institutions are facing intense debate over reforms in the technology and telecommunications sectors. Europe is seeking to compete with global players in technologies that will shape the future, such as artificial intelligence, cloud computing, and defense technology.
- The CEOs emphasize that telecom providers are at the heart of the push for technological sovereignty and the creation of a European technology ecosystem. They support the recent direction on issues such as the regulation of satellite services and cloud computing, but clearly call for a “course correction” on contradictory legislative proposals, including the Digital Networks Act and the Cybersecurity Act.
CEOs’ statement
Connectivity networks are the foundation of Europe’s technology ecosystem, and today we still hold control over this critical layer. However, this position is at risk due to uncoordinated policy reforms, and we now face a clear choice: strengthen connectivity and unlock technological leadership, or risk losing control of the entire technology ecosystem.
Our contribution to European technological leadership
The connectivity ecosystem already contributes 5% to Europe’s GDP, and telecom providers invest €64 billion annually. Yet Europe still needs €475 billion just to achieve world-class mobile networks — a reality that demands a significant increase in investment.
By delivering gigabit connectivity for all, autonomous 5G networks for industry, strategic investments in submarine cables and satellites, and future 6G networks, Europe can empower its businesses to expand across the entire technology ecosystem and reclaim its leadership position.
Telecom providers are ready to contribute to achieving technological leadership in the following ways:
Artificial intelligence. Building European AI Factories and Gigafactories, developing open and sovereign artificial intelligence platforms, expanding our customers’ access to AI tools, and managing the growth in data traffic generated by artificial intelligence, as well as the increased network demands for running AI model inference.
Sovereign cloud. Building capacity to meet demand for sovereign cloud services: from edge cloud embedded in mobile networks to the creation of sovereign data centers and cloud platforms, from interconnecting pan-European cloud services to integrated cloud solutions.
Defense technology and resilience. Contributing to Europe’s security and to achieving the investment target of 1.5% of GDP in critical infrastructure, as agreed by NATO heads of state and government. We can provide secure military communications, drone detection systems, cybersecurity solutions, managed security operations services, dedicated 5G network slices and related capabilities, as well as satellite communications (satcom) services.
We are ready to deliver tangible benefits for Europeans by boosting innovation, strengthening our productive base, and advancing Europe’s sovereign technological capabilities during a period of geopolitical instability.
Delivering competitive reforms
European technological leadership requires translating Europe’s competitiveness agenda into concrete policy reforms. A course correction is beginning to take shape in key areas.
On technological sovereignty, the European Commission has taken positive steps with the Cloud and AI Development Act, as well as the recent regulation on spectrum for mobile satellite services — creating space for European alternatives in both cloud computing and satellite connectivity as tools for boosting competitiveness.
We believe the same spirit should be reflected in the modernization of merger control rules, enabling both consolidation within national markets and cross-border concentrations, so that we can invest and innovate at greater scale.
By contrast, the current proposal for the Digital Networks Act (DNA) does not address Europe’s need for a meaningful improvement in the conditions for connectivity investment and innovation. We call on co-legislators to correct course by prioritizing five key pillars:
Freeing up capital for network deployment. Co-legislators should fully support indefinite-duration spectrum licenses as the norm, with a minimum duration of 40 years in exceptional cases, as the Commission proposes. Over the past 12 years, the European telecoms industry has spent €110 billion on spectrum licenses. Moving away from frequent auctions is one of the most direct ways to redirect capital toward investment in 5G, fiber, and future 6G networks — all of which are essential for competitiveness.
Demand-driven investment, not regulatory mandates. While European telecom companies invest over €30 billion annually in FTTH, Europe will not gain more fiber infrastructure simply by requiring providers to switch off functioning copper and fiber networks. This top-down approach will limit consumer choice, weaken infrastructure competition, and ignore the diverse conditions across European markets. The transition to fiber should be driven by better deployment conditions, consumer choice, and the evolution of market demand — not regulatory mandates. Consumers should remain free to choose the offerings that meet their needs, with networks competing not only on speed but also on quality, reliability, and services.
Modernizing regulation for innovative networks. As the Draghi report clearly highlights, existing ex-ante regulation discourages investment and risk-taking. Europe should not transpose a regulatory model designed decades ago for copper networks into today’s increasingly competitive fiber network environment. Where markets function effectively, competition should take precedence and regulation should serve as a safety net.
The same spirit should govern net neutrality: Europe can uphold Open Internet principles while ensuring legal certainty and leaving room for innovation with advanced 5G and 6G networks — including network slicing, quality differentiation, and new industrial services.
Putting simplification into practice. The DNA should deliver on the Commission’s commitment to “simplicity by design”: less regulation and bureaucracy, greater harmonization, and, in turn, more room for investment and innovation.
Above all, the reforms currently underway must be coherent. While the DNA aims to strengthen the telecoms industry’s investment capacity, the Cybersecurity Act (CSA) risks absorbing the very same capital needed for investment in fiber, 5G, and 6G.
The horizontal equipment removal requirements envisaged under the CSA could burden our industry with replacement costs of up to €40 billion. Furthermore, a recent study shows that additional burdens include operational disruptions and negative impacts on customers.
We need a proportionate, risk-based approach that takes into account alternative risk mitigation measures, rather than broad restrictions that mandate infrastructure replacement without regard for investment lifecycles or provision for compensation.
As CEOs of Europe’s leading telecommunications companies, we are ready to contribute to achieving European technological leadership. We believe that the ongoing DNA and CSA reforms must be corrected to enable the industry to scale up its investments.
We call on EU institutions to engage in this effort as we help Europe keep pace with global competition and technological innovation.
Signatories
Ana Figueiredo, CEO and Chairman, MEO
Amel Kovačević, General Manager, BH Telecom
Benedicte Schilbred Fasmer, President and CEO, Telenor Group
Boštjan Košak, CEO, Telekom Slovenije, d.d.
Christel Heydemann, CEO, Orange Group
Christoph Aeschlimann, CEO, Swisscom Group
Georgios Metzakis, CEO, Cyta
Joost Farwerck, CEO & Chairman, KPN
Marc Murtra, Chairman & CEO, Telefónica S.A.
Mike Fries, Chairman & CEO, Liberty Global
Pietro Labriola, CEO and General Manager, TIM
Stan Miller, CEO, United Group
Stijn Bijnens, CEO, Proximus Group
Thomas Arnoldner, Deputy CEO, A1 Telekom Austria Group
Timotheus Höttges, CEO, Deutsche Telekom
Tomáš Kouřil, CEO, CETIN a.s.
Topi Manner, CEO, Elisa Corporation