Broadband

Telefonica and Digi Ink 16-Year Mobile Network Agreement

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Spanish telecommunications firm Telefonica and Digi have solidified a new long-term mobile network agreement to extend their current partnership. This development underscores a noteworthy evolution in their collaboration, focusing on enhanced sustainability and increased national network value.

The newly inked deal spans 16 years and takes effect on January 1, 2025. This agreement extends beyond the existing mobile access contract, encompassing National Roaming and RAN sharing services. Telefonica highlighted that the arrangement ensures a long-term revenue stream akin to current levels, marking a significant step in stabilizing future incomes. The deal also includes an extension of the fixed broadband wholesale agreement.

Telefonica expressed confidence in its national network’s superior quality, reinforcing Digi’s efficient use of new spectrum assets. The enhanced agreement emphasizes how Telefonica’s infrastructure instills trust, promising to deliver high-quality services consistently.

Digi, in a separate statement, noted that the renewed partnership facilitates a smooth transition from an MVNO (Mobile Virtual Network Operator) to an MNO (Mobile Network Operator). This shift allows Digi to build and operate its mobile network while sharing the 3.5 GHz spectrum with Telefonica.

Digi, already operational in Romania and Spain, and with a presence in Italy, Portugal, and Belgium, secured necessary spectrum during the merger of local carriers Orange and MasMovil. As part of the merger process, MasMovil divested specific spectrum bands, including 1.8 GHz, 2.1 GHz, and 3.5 GHz, to Digi Communications. The divestiture obligates the merging entities to enter an optional national roaming agreement with Digi, supplementing Digi’s own infrastructure rollout.

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