Enel: broadband plan in 224 cities, investment of 2.5 billion – Il Sole 24 Ore

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This article was published March 23, 2016 at 12:48 hours.
the last change is the March 23, 2016 at 12:54.

Enel presented Enel open fiber plan that will bring the ultra-wideband direct to the customer’s home final (FTTH) in stages, in 224 Italian cities. The plan, it said in a statement, in its phases provides for ‘investments by gradually approved for about 2.5 billion Euros dedicated to the development of the network, open to the participation of other investors. ” The plan Eof (Enel Open Fiber, ed), in line with the European Digital Agenda and the Italian strategy for ultra-wideband, Eof expected to realize, through various stages to be released in sequence, the fiber-optic telecommunications network 224 Italian cities located in a market success areas (so-called cluster a and B). This network will be made entirely of optical fiber up to the customer’s home, in the mode FTTH (Fiber to the home).
In the early years of the plan, it is expected to cover at very high speed of approximately 7.5 million of homes, thus helping to bridge the digital delay of Italy. The plan provides for investments in its phases, to be approved by degrees, for about 2.5 billion Euros dedicated to the development of the network, open to the participation of other investors.

The one with Wind and Telecom, under the plan to bring the fiber in 224 cities, “is a trade agreement and there is no financial involvement,” stated Francesco Starace, CEO and Director general Enel, during the conference call that followed the Board of Directors yesterday, which approved the results 2015. There will be therefore a ‘holding in the capital of Enel open Fiber “of the two operators, precise Starace, which therefore remains” open to investors and funds infrastructure. ” Following “give details about city cluster where we will be able to go gradually,” adds to Enel and dg. He added: “there may be an overlap with a hundred cities where Tim will operate”, based on what appears to be “a statement of intent,” he adds, but “not a problem” and “if we find some work already done will be useful and not harm, and we will invest less. “

The return on investment of Enel Open Fiber in the fiber in the air not of market failure (A and B) “will be at the top of a percentage to one digit or at the bottom of a double-digit, very interesting for us. ” Thus said Francesco Starace, CEO of Enel in the conference call. Starace added that in the market failure areas (C and D), Enel Open Fiber participate in tenders for the management of the service, once the races will be held. “Enel Open Fiber will not invest a euro in the construction of the infrastructure, but will participate in tenders for the management, development and maintenance of the fiber network.”

Enel Open Fiber, in 3 or 4 years, should produce EBITDA of “about 250 millions” €. said the CEO. Francesco Starace, Enel responding to questions from analysts in a conference call.

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