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EU Telecom Reform Faces Criticism Over Competitiveness

EU Telecom Reform Faces Criticism Over Competitiveness

Catenaa, Monday, November 03, 2025-Leading European (EU) telecom operators and industry groups criticized the European Commission for “slow and timid actions” in advancing digital infrastructure, warning that fragmented markets are undermining the EU’s global competitiveness.

An open letter to Commission President Ursula von der Leyen from executives at BT, Deutsche Telekom, Ericsson, Liberty Global, Nokia, Orange, Vodafone, and the GSMA urged immediate reforms following recommendations in last year’s Mario Draghi report. The report proposed a single telecoms market, harmonized rules on spectrum allocation, cybersecurity, lawful intercept, and fair contributions from content and application providers.

Signatories highlighted that Europe trails the U.S. and China in 5G deployment, with only 2% of Europeans on standalone 5G networks, compared to 25% in the U.S. and 77% in China. They warned this lag threatens industrial sectors from automotive to fintech, limits AI and industrial data opportunities, and reduces Europe’s attractiveness to investment.

The letter noted that European operators have invested over €500 billion in 5G networks over the past decade but face fragmentation with more than 100 operators across 27 countries. Industry leaders urged the Commission to take bold actions to promote scale, including mergers and consolidation, to strengthen competitiveness.

The groups emphasized readiness to support the Commission in implementing a clear plan for 2026 to accelerate investment in digital networks, highlighting the urgency for Europe to reclaim a leadership position in connectivity, innovation, and digital security.

European telecom executives urge the EU Commission to enact bold reforms to address market fragmentation, accelerate 5G adoption, and strengthen Europe’s competitiveness against the U.S. and China.