EU drops a broadband bombshell

EU DROPS BROADBAND BOMBSHELL
[SOURCE: Financial Times, AUTHOR: Sarah Laitner and Philip Stafford]
Viviane Reding, the EU media commissioner, this week cited the decision to split the networks and services division of BT of the UK as a potential template for other former state-run telecoms operators. Her suggestion goes to the heart of a debate on how to spur investment in new ultra-fast broadband networks to meet European business and consumer hunger for bandwidth. No stranger to controversy, Ms Reding has a remarkably consistent method. The former journalist and ex-member of the European parliament is seen by some in the industry to use a “bomb-dropping” technique. First, she outlines outlandish ideas then waits for the air to clear before returning to the table to get a deal. The coming months will reveal what effect her approach has on the EU’s leading telecoms groups.
http://www.ft.com/cms/s/1286d526-565a-11dc-ab9c-0000779fd2ac.html
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* Broadband battles
[Commentary] Viviane Reding’s nuclear negotiating style is nothing if not effective. The urgent issue, though, is to design a regulatory approach that will ensure competition while giving companies incentives to invest in the next generation of infrastructure for broadband. A pan-European regulator, however light its touch, would be inappropriate ­ and its proposal is highly unlikely to win agreement from member states. But if the threat persuades national agencies to tighten co-ordination and toughen competition, Ms Reding’s scare tactics will have paid off.
http://www.ft.com/cms/s/0/acb57316-565d-11dc-ab9c-0000779fd2ac.html
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