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News

The trial will see Deutsche Telekom, Telefónica and Vodafone test the EU’s digital identity wallets during SIM activation, in anticipation of broader usage 

This week, Germany’s three mobile network operators have announced their participation in a new EU trial seeking to further the development of mobile wallets for digital identities. 

The scheme is being carried out by the EU consortium ‘POTENTIAL’, the largest of four consortia currently operating pilot programmes aiming to provide each EU citizen with control over their online data through a secure digital identity, which can be used throughout the bloc. 

The consortium’s 148 partners are trialing various digital ID projects in 19 countries, including using the IDs for opening bank accounts and obtaining digital drivers licenses. Testing for online citizen services and electronic signatures are reportedly ongoing. 

For the trio of mobile network operators involved, their own pilot project will involve enabling consumers to use their digital IDs to activate SIM cards. This, they say, will both serve as a proof of concept and theoretically help to reduce digital identity fraud. 

The testing will take place in Germany, France, Austria, Poland, Netherlands, Greece, and Ukraine. 

The current methods of online self-identification are often criticised for being too costly and insecure. As a result, the EU is beginning to introduce new technical conditions to ensure digital identities are secure based on new Electronic Identification and Trust Services (eIDAS) regulations which recently came into effect. 

“Every time a website asks us to create a new digital identity or conveniently log in via a large platform, we actually have no idea what is happening with our data. This is why the Commission will soon propose a secure European digital identity. One that we trust, and that citizens everywhere in Europe can use to do everything from pay taxes to rent a bike. A technology with which we ourselves can control what data is used and how,” said Ursula von der Leyen, President of the European Commission. 

“A digital identity can only bring value when people actually use it. And they will do so when they can trust the application and it is made easy to use. This is what we are supporting with our participation in the EU project ‘POTENTIAL’. So that digitalisation becomes accessible everywhere and for everyone. Whether at home, on vacation or on business trips,” added Michael Jungwirth, Director Public Policy & External Affairs at Vodafone Germany. 

‘POTENTIAL’ is expected to report on the results of the various trials in September, which will then be used to develop a roadmap to see the digital IDs rolled out throughout the EU by 2025.  

Join in the conversation about digital security at this year’s Total Telecom Congress live from Amsterdam 

Also in the news:
Nokia and Proximus team up for Europe’s first hybrid quantum encryption key trial
EU fines Meta €1.2bn over transfer of data to US
Samsung bans staff from using generative AI after data leak 

Navégalo, a provider of data centre and telecommunication services with a strong presence in Latin America, has announced the arrival of a new state-of-the-art data centre in San José, Costa Rica. The opening is scheduled for 15 August 2023.

Navégalo says this expansion solidifies its position as the largest privately held data centre company in Costa Rica. The new facility boasts 300 cabinets, including an exclusive 40-cabinet suite, providing ample space to collocate infrastructure and benefit from Navégalo’s comprehensive suite of services.

Initially providing 5MW of power, the new facility can scale up to 15MW to meet the growing demands of global hyperscalers. Navégalo says that Costa Rica’s strategic location, skilled workforce, robust telecommunication infrastructure, proximity to the US, and political stability make it an attractive choice for these tech giants, as well as global clients.

As for environmental stewardship, Navégalo says it will achieve a number of relevant certifications by the end of the year. It adds that it has operated on 99% renewable energy for the past seven years and plans to offset the remaining 1% through solar panels.

By October 2023, Navégalo will be ISO 9001 and ISO 27001-compliant. The facility already holds Rated 3 certification according to ANSI/TIA-942 standards, with Tier III Certification expected later this year.

Navégalo says it ensures 100% redundancy and robust connectivity through its own capacity on three submarine cables – PAC, Arcos, and Maya.

Founded in 2002, Navégalo offers hosting, domains, VoIP, cybersecurity, and colocation services. As well as its two facilities in San José, Navégalo is also present in Guatemala, El Salvador, Nicaragua, Honduras and Panama along with Miami in the US.

News

Vodafone CEO Ahmed Essam has warned that if the Vodafone–Three merger is stopped by the Competition and Markets Authority (CMA), vital investments in digital UK infrastructure will be prevented

This week, the head of Vodafone UK has stressed to regulators that the planned merger between Vodafone and Three will be critical to achieving the government’s 5G rollout targets. CEO Ahmed Essam told The Times that if the deal is blocked the group “won’t be able to invest as much, and we won’t be able to deliver the 5G ambition that’s coming in the wireless infrastructure strategy from the government.”   

The government’s Wireless Infrastructure Strategy, published in April, set out a plan for the UK to bring world-class digital infrastructure to the entire UK, aiming to provide nationwide coverage of standalone 5G to all populated areas by 2030 

Vodafone and Three signed a formal £15 billion merger agreement last month, a deal that will see the newly combined company majority-owned (51%) by Vodafone, with Three UK’s parent company, CK Hutchison taking the remaining 49%. No cash will be exchanged under the agreement. 

If approved, the newly merged group will become the largest mobile network operator in the UK, surpassing both Virgin Media O2 and EE, with more than 27 million customers. 

The deal will see the two companies invest £11 billion in UK mobile infrastructure. This includes promises to reach 99% of the UK with their newest 5G standalone network by 2034 and offering fixed wireless access to 82% of UK households by 2030. 

“As a country, the UK will benefit from the creation of a sustainable, strongly competitive third scaled operator – with a clear £11bn network investment plan – driving growth, employment and innovation,” said Vodafone Group Chief Executive Margherita Della Valle. 

“The combination of Three UK and Vodafone UK will bring the advantages of 5G to every business and household in the UK, enabling the UK to deliver its ambitions for digital and economic growth and fully supporting the UK Government’s objectives for a world-leading digital economy,” added Three UK CEO Robert Finnegan. 

However, critics have warned against the monopolistic nature of the merger, which they argue will lead to higher prices and job cuts. They point to similar mergers in other markets, such as Vodafone Hutchison’s combination with TPG in Australia in 2020, which saw prices increase for customers and investment in the sector decrease, according to research from trade union Unite. 

As a result, the CMA and other regulators are expected to take a largely skeptical view of the deal and are likely to impose stringent conditions on the duo before agreeing to give the deal the green light. These conditions could involve anything from forbidding the company from hiking prices for a number of years to divesting of spectrum – a commodity in which the newly merged entity will hold a major advantage over rivals.  

How will the merger play out? It is sure to be a hot topic for discussion at Connected Britain this September – get your ticket today! 

Also in the news:
Voda – Three – well that’s just great…
Orange facing bumpy regulatory road to Masmovil merger
Orange-MásMóvil merger may reduce competition in Spain, says European Commission 

euNetworks revealed a continent-wide transport win over in Europe this morning, taking advantage of the reach they have steadily built themselves over the last decade. Inter.link will be leveraging their infrastructure in a big way as it ramps up its international presence, starting with Europe. … [visit site to read more]

News

Telefónica has sold a 54% stake in its Peruvian network to US-based investment firm KKR and 10% to Entel Peru, retaining a 36% share  

In an effort to reduce debt and fund investment to build 5G mobile networks, Telefónica, one of Spanish America’s largest telecommunications firms, has recently made a sequence of asset sales in order to focus on its core businesses in Spain, the UK, Germany, and Brazil. As part of this move, in 2021 The El Salvador unit was sold to General International Telecom for $144 million, followed by Liberty Latin America’s acquisition of the Costa Rican unit. 

The value of the deal has not been disclosed, although Telefónica noted that it would cut the company’s debt by €200 million. A close banking source to the deal estimated that, including debt, the transaction valued 100% of the unit at around €550 million. 

As part of a wider deal, KKR has also purchased majority interest in PangeaCo and the existing fibre optic networks of Entel Peru, combing their fibre assets with those of Telefónica Peru to build the country’s first nationwide open access wholesale fibre company, ‘ON*NET Fibra de Perú’.  

KKR will own a controlling 54% stake in the business, Telefónica Hispanoamérica will own 36%, and Entel Perú will own 10%. Telefónica and Entel will serve as anchor tenants of the new network. 

KKR added that they plan to invest an additional $200 million to grow Peru’s digital infrastructure to more than double the size of the existing fibre optic networks, to which currently less than 35% of the population have access, to reach 5.2 million homes passed by the end of 2026. 

As always, the transaction will be subject to the typical regulatory approvals.  

The creation of ON*NET Fibra de Perú follows the pattern of similar model to that KKR has employed with Telefónica and Entel in other markets in recent years. In 2021, KKR acquired and combined the assets of both operators in Chile and Colombia – creating ON*NET Fibra de Chile and ON*NET Fibra de Colombia, respectively – and has expanded these wholesale networks significantly over the past two years. 

Meanwhile, in Europe, KKR is deeply embroiled in the ongoing battle with Cassa Depositi e Prestiti  and Macquarie Group over who will be allowed to purchase TIM’s fixed broadband network, which analysts suggest could be worth up to €23 billion. 

How is the European fibre landscape changing in 2023? Join the operators in discussion at this year’s Total Telecom Congress live from Amsterdam 

Also in the news:
TIM to enter exclusivity negotiations with KKR
Cellnex snaps up Iliad’s stake in OnTower Poland
KPN buys Primevest’s Dutch fibre network 

News

According to findings from global technology intelligence firm ABI Research, the non-terrestrial networks (NTN)–Mobile segment could exceed 200 million connections by 2031 

Last year saw the completion of 3GPP’s Release-17, contained within which were various new specifications allowing NTN (primarily satellites) to serve both handheld mobile devices and the IoT. Since then, numerous firms like Apple, Huawei, ZTE, Qualcomm, Motorola, MediaTek, Bullitt, Globalstar, Inmarsat, and Iridium have all entered strategic partnerships within the satellite and mobile industries, seeking to capitalise on the emerging NTN–mobile market. 

For the mobile network operators (MNOs), meanwhile, the growing prominence of low Earth orbit (LEO) satellite constellations represents a major opportunity to their coverage beyond the reach of their traditional, terrestrial networks. T-Mobile, for instance, has joined forces with Starlink (SpaceX) to supply satellite-to-mobile connectivity. Similar partnerships from satellite operators such as Lynk and AST SpaceMobile, have been struck with major MNOs including Vodafone, Rakuten Mobile, AT&T, Bell Canada, MTN Group, Orange, Zain KSA, Saudi Telecom Company (STC), and Telefónica.  

“The emergence of satellite-enabled mobile devices from major consumer smartphone manufacturers and chipset makers like Apple, Qualcomm, Motorola, MediaTek, Huawei, and ZTE indicates the upcoming introduction of satellite communications into the mainstream consumer market,” said Victor Xu, Satellite Communications Research Analyst at ABI Research.  

However, whilst the advancements in satellite-to-cellular communications are exciting, it should be remembered that the majority of satellite services will initially target the IoT, low data rate communications, and emergency service communications, not the consumer segment. As the technology and standards mature in the following years, however, more advanced 5G-based New Radio (NR)–NTN will be incorporated, which will increase the capabilities of the network, allowing for more users.  

This introduction of NR–NTN satellite services, expected in 2026, will likely be the key driver for the large projected growth in the sector, with ABI projecting a Compound Annual Growth Rate (CAGR) of 59% from 2024 to 2031. According to the company’sThe Role of Satellite in 5G: Non-Terrestrial Networks Mobile application analysis report, the market could reach a value of over $18 billion by 2031, with up to 200 million NTN connections. 

How is the NTN-mobile market changing in 2023? Join the experts in discussion at this year’s Total Telecom Congress live in Amsterdam 

Also in the news: 

China Mobile Ningbo leads the way in building 5G infrastructure for business growth 

Telstra partners Starlink to serve remote customers in Australia 

New Zealand’s Spark partners Lynk for satellite-to-mobile connectivity