Deutsche Telekom is asking its rivals to help it build a high-speed VDSL network that would cover all of Germany. It said that without it, the country would lose its competitive edge.
“Deutsche Telekom cannot build a VDSL network aimed at covering the entire country alone because we would never be allowed 100% market share,” said Timotheus Hoettges, a member of the company’s board of management. “We welcome others helping us invest into broadband networks of the future and will open our network on fair conditions, but not at any price.”
Hoettges said Deutsche Telekom is investing about $3.75 billion into building an ultra-high-speed VDSL broadband network.
German and European regulators have forced it to offer affordable access to rivals. The company wants the regulations lifted so it can price access.
VDSL is generally said to offer speeds in the 25 Mbps to 50 Mbps range, fast enough for delivering several channels of high-definition video. AT&T is using VDSL technology in the hybrid fiber-copper wire networks it’s building.
Deutsche Telkom, AT&T and other incumbent telcos find that cable TV services have an advantage because they can offer bundles that include pay-TV, broadband and telephony. The telcos feel they must do the same.