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European Council Approves Gigabit Infrastructure Act

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Brussels witnessed a momentous occasion as the Gigabit Infrastructure Act received its final approval from the European Council on Monday. This legislation, eagerly awaited and heavily debated, is set to become enforceable within days, marking a significant milestone for connectivity development across the European Union’s 27 member states.

Lawmakers hailed the act as a gamechanger, emphasizing its potential to accelerate the deployment of high-speed networks. However, expectations are tempered by the realization that its impact won’t be immediate. Despite the Council’s nod of approval, the act must first be published in the Official Journal, a process expected to take a couple of days before it officially takes effect three days later. Yet, it won’t fully become law until 18 months after that, with certain provisions kicking in even later.

Such timelines are standard in European lawmaking, reflecting the meticulous nature of policy implementation. Nevertheless, urgency surrounds the EU’s ambition to meet ambitious targets for high-speed network coverage by the end of the decade, underscoring the need for timely and effective action.

Belgian Deputy Prime Minister Petra De Sutter lauded the act’s adoption, framing it as a vital step in streamlining administrative processes to facilitate the rollout of fiber and 5G networks, ultimately enhancing citizens’ digital experiences.

The act indeed promises benefits for network developers, offering provisions to expedite permit acquisition from landowners and extend retail price caps for voice calls and SMS within the EU. However, industry bodies like ETNO, ECTA, GIGAEurope, and the GSMA express disappointment over what they perceive as a watered-down version of the act compared to its original proposal.

The broader context reveals significant challenges ahead. Fiber networks currently cover only 56% of households, while 5G reaches 81% of the population, dropping to 51% in rural areas—a stark contrast to the EU’s ambitious targets for full gigabit coverage and ubiquitous 5G by 2030.

The investment required to achieve these goals is estimated at €200 billion, highlighting the scale and complexity of the endeavor. As attention turns to upcoming European Commission elections, industry stakeholders anticipate further policy developments to bolster infrastructure rules.

While the Gigabit Infrastructure Act represents progress, its true impact remains to be seen amid ongoing efforts to bridge Europe’s digital divide and propel the continent towards a more connected future.

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