The world’s largest towerco, American Tower (ATC), is bullish on Europe. It has already experienced rapid growth in the US and wants the same success on the continent. The moment is now, according to ATC Europe CEO, Thierry Amarger, since the European Commission is still drafting the regulation, the Digital Networks Act, that will be seminal for the telecoms sector and could carve out an even bigger role for tower companies.
ATC has been in Europe since 2012. It owns and operates nearly 32,000 sites in France, Germany, and Spain, and is rumored to be in the market for a bigger slice of the French market. According to the Financial Times, ATC is bidding for French firm TDF Infrastructure, valued at €8-10 billion.
“Europe offers a compelling environment for ATC’s continued growth. First and foremost, it offers a politically and economically stable environment, which is crucial for long-term infrastructure investments,” said Amarger.
“In addition, the EU’s digital strategy signals robust institutional backing for connectivity and infrastructure development. The Digital Decade 2030 policy creates a powerful tailwind for the telecom ecosystem that we are part of.”
The European Commission’s Digital Decade 2030 policy sets targets across four areas to make the EU competitive and resilient in the digital age. Under the pillar of Digital Infrastructure, the policy aims to provide all EU households with gigabit connectivity and 5G coverage.
This requires vast investments in communication infrastructure, including building VHCNs (Very High Capacity Networks). The European towerco community has been vocal in arguing that the neutral host model is essential to meet these goals.
There is another element to Europe’s appeal for ATC, and that is the pockets of untapped potential, according to the regional CEO, especially when compared with the ATC’s North American market. This relatively early stage of the neutral host towerco model in Europe is driving ATC’s appetite.
“There’s a significant opportunity to bring our global expertise in multi-tenancy, infrastructure sharing, and collocation to the region. These models drive cost efficiencies, save materials and energy, and create capital release for our customers, which can allocate it to improve coverage and service quality,” said Amarger.
“There’s still work to be done in delivering 5G —particularly in rural areas and in deploying mid-band spectrum, which is critical for delivering high-capacity 5G services. These gaps represent real growth opportunities for us, especially when combined with the potential for collocation and infrastructure sharing,” he said.
Based on the most recent EU Digital Economy and Society Index figures, average 5G coverage across Europe has reached 94%. In France, the figure stands at 94%, Germany at 99%, and Spain at 96%.
Beyond 5G, ATC Europe sees opportunities in indoor coverage, private networks, edge computing, higher mobile traffic driven by AI applications, and power-as-a-service.
Regulation
Amarger laid out four areas where he says regulatory reform in Europe can accelerate connectivity and infrastructure deployment.
- “First, access to the electricity grid needs to be facilitated and expedited. Mobile connectivity should be recognized as an overriding public interest, which would help prioritize infrastructure access and reduce delays in powering sites, especially in rural and underserved areas.
- Second, we believe greater transparency around EMF (Electromagnetic Fields) budgets is essential. This would enable more efficient site sharing and collocation, driving down deployment costs while also supporting environmental goals through reduced duplication of infrastructure.
- Third, it’s important that regulators continue to prioritize commercial negotiations and market dynamics in the neutral-host towerco space. We should be leveraging this model to promote faster, more inclusive connectivity.
- Permitting procedures also remain a bottleneck. The EU Gigabit Infrastructure Act was a good first step, but more needs to be done to streamline and harmonize processes across member states. Simplification and consistency would go a long way in reducing deployment timelines and unlocking broader coverage.”
The looming Digital Networks Act (DNA) will address some of these areas. It is in the development process, which is why towercos have been especially vocal in recent months. The DNA aims to replace the European Electronic Communications Code with harmonized rules across all 27 EU Member States that can simplify overlapping regulations. A legislative proposal is expected in Q4 2025.
ATC wants to see a stronger voice for the towerco community in the regulation and sees this as a key part of its strategy on the continent.
“We believe that this presents a great opportunity to simplify the framework and further leverage the pro-competitive and efficient nature of our neutral-host model. This should be achieved by strengthening the importance of commercial negotiations, overcoming issues with accessing the electricity grid for towercos and increasing EMF transparency in the market,” said Amarger. “ATC has consistently invested in the region in past years and plans to continue in that path if the environment remains supportive.”
One of the central arguments that towercos make to regulators is that their existence makes networks more affordable and frees up spending for additional infrastructure investment. This is logical, but it relies on the premise that MNOs will use the cash freed up by selling their towers and reinvest it in other parts of the network.
Neutral host towercos now represent 69% of towers across Europe, and the sector has released over €53 billion in capital to MNOs since 2019, according to trade body, the European Wireless Infrastructure Association.
“These outcomes reinforce the value of the neutral-host model—not just as a business enabler, but as a catalyst for collaboration and digital inclusion across Europe,” said Amarger.
“Our neutral-host business model plays a vital role in today’s ecosystem, enabling multiple mobile network operators (MNOs) to share infrastructure. This model reduces duplication, lowers deployment costs, and accelerates network rollouts—ultimately improving service quality for consumers. It also helps extend high-quality connectivity to rural and underserved areas, while leveling the playing field for smaller operators.”
The danger is that the presence of the towerco model, which enables operators to access infrastructure at lower costs, will introduce more budget-conscious operators (the likes of Iliad and Digi Communications), which slash income for incumbent operators, and reduce their appetite to invest in their networks.
Ultimately, this is not the concern of the towerco, but this may be a concern for EU regulators trying to boost Europe into a new digital era.
ATC’s most recent earnings, for the second quarter, saw net income fall 59.3% year-over-year to $367 million. However, the company raised its full-year 2025 outlook across key financial metrics. Total revenue was $2.63 billion.
Operations in the Africa & Asia-Pacific segment saw the largest growth of 13% in organic tenant billings, followed by Europe at 5.1%.
The U.S. & Canada region grew at 3.7%, while Latin America showed the weakest performance, with 2.9% growth.