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Labriola (Tim): “A single network can be built within 12-18 months”

Labriola (Tim): “A single network can be built within 12-18 months”
Written by aquitodovale

“The single network can be built within 12-18 months”. Pietro Labriola, CEO of Tim, from the stage of the Trento Economy Festival, launches this message to the market. It does so after having analyzed how the role of telecommunications companies has significantly changed in the post-pandemic, a new “world” in which it is necessary to review not only the priorities of the sector, but also the industrial model: no longer vertically integrated groups, but focused on individual activities, services and infrastructures.

The pandemic has accelerated the use of digital services, with strong growth in demand. Could you tell us the point of view of the telecommunications operators, how was this dizzying growth in demand managed?
The health emergency has highlighted how telecommunications are a basic necessity. It is clear to everyone that you cannot be without connectivity, because it ensures services that are part of everyday life. The solidity of the infrastructure and timely interventions ensured a prompt response to the sudden growth in demand: in just two years, data traffic has doubled on the fixed network and tripled on the mobile network.

Did the system hold up? Were there any critical issues?
There are points of attention and questions to ask. Previously, networks were planned on the basis of the average consumption of people, which could also be easily estimated in prospective terms. Today customer behavior is conditioned by external factors, even unpredictable ones, such as a pandemic, or even more by needs induced by third parties, such as Over-The-Top. This determines the need to revise rules that are no longer current. It is necessary that the OCTs contribute to the development of the networks.

The asymmetry with operators is no longer sustainable: on the one hand they use networks to deliver their services, on the other hand the Telcos have no benefits. To the extreme, it is as if they are traveling on the freeway without paying the toll. Then there is the issue of security: with strategic applications such as telemedicine and smart cities, a way must be identified in which operators can guarantee the best user-experience of these services, avoiding that they suffer from any overloads on the networks. launched on the initiative of the Government is a positive sign to deepen these aspects. An industrial policy is needed for Telcos and we hope that dialogue with institutions, trade unions and operators will lead to concrete and timely measures in support of a strategic sector for the economy and the recovery of the country.

What is the health of the telecommunications sector? Despite the acceleration in the use of digital services imposed by the Covid emergency and the concrete arrival of 5G on the market, the accounts of the sector continue to show red.
In the mobile sector, in the United States, where there are about 330 million inhabitants, there are only 4 operators, in Brazil where there are 213 million people the Government has chosen to drop from 4 to 3 operators. In Europe there are 97 operators for 447 million inhabitants, while in Italy, following a merger between two mobile operators (the one between Wind and Tre, ed.), The entry of a new operator was decided. The paradox is that, although the market needed to achieve economies of scale through consolidation, the effects of the merger were effectively eliminated with the simultaneous entry of a new player.

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