Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Italy aims to bring Telecom Italia network under state control

Published 11/14/2022, 07:01 AM
Updated 11/14/2022, 08:17 AM
© Reuters. FILE PHOTO: Telecom Italia (TIM) logo is seen displayed in this illustration taken, May 3, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
TLIT
-

ROME (Reuters) -Italy's new government wants to bring Telecom Italia (BIT:TLIT)'s (TIM) network under state control to speed up the digitalization of the economy, Industry Minister Adolfo Urso said on Monday.

"We need the network to be under public control," Urso said at a business conference in Rome, dubbing the privatisation of Italy's former phone monopoly in 1997 a "mistake".

The remarks came as Prime Minister Giorgia Meloni's right-wing administration reviewed options on how to combine TIM's landline grid with that of smaller rival Open Fiber to create a single national broadband network.

One possibility is the so-called 'Minerva' project, which would involve a takeover bid for TIM by state lender Cassa Depositi e Prestiti (CDP), which controls Open Fiber.

An alternative plan, backed by TIM CEO Pietro Labriola, is a spin-off of its network and later merger with Open Fiber via a memorandum of understanding with CDP.

© Reuters. FILE PHOTO: Telecom Italia (TIM) logo is seen displayed in this illustration taken, May 3, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

"The government strategy is to have a state-controlled network", and it will decide "with one voice" how to reach this goal, Urso said on the sidelines of the Rome conference.

Last week, Economy Minister Giancarlo Giorgetti urged caution on the Minerva plan, saying it was something that needed to be extensively discussed within the government.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.