Antitrust Watchdog Investigates TIM-FiberCop Deal

TIM

Italy’s competition watchdog, the Italian Competition Authority (AGCM), is investigating the contractual relationship between Telecom Italia (TIM) and FiberCop, the fixed-line network company derived from the former national phone monopoly.

The investigation will focus on the terms of a 15-year master service agreement (MSA) signed between the two companies after TIM sold FiberCop to a consortium led by U.S. investment firm, KKR, for EUR 22 billion in July, 2024.

Latest: TIM Delays Sparkle Sale Again

Under the MSA, FiberCop provides TIM with connectivity capacity through its fixed line fiber and copper infrastructure network. The contract also provisions FiberCop’s services to other telecom operators in the Italian market. However, the Antitrust Authority has raised concerns that specific provisions within the agreement could create anti-competitive practices, restricting fair competition in the sector.

TIM responded by stating that it will fully cooperate with the investigation and is confident that the contract terms comply with all applicable regulatory requirements. The company stressed that the agreement was designed to ensure fair market access and transparency. FiberCop, which operates most of Italy’s fixed-line broadband network, has not yet commented on the probe.

Also Read: TIM Invests in Cloud Expansion and New Data Center Near Rome

The investigation is critical for Italy’s telecom sector, which is undergoing significant restructuring, particularly following large-scale mergers, acquisitions, and infrastructure investments. Should the antitrust authority identify any violations, TIM and FiberCop could experience substantial regulatory and financial repercussions.

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