30 November 2007
The adoption of future high-speed broadband networks depends on increased investment in the sector, EU society and media commissioner Viviane Reding has said.
Speaking at a conference in Budapest, the commissioner said that this investment should come through media regulators in nation states offering incentives to broadband providers to invest in new network technologies such as fibre optic cables.
Ms Reding commented: "The treatment of Next Generation Networks is one of the most important regulatory issues facing us over the coming years.
"I want regulation to encourage investment in future networks…what we need is appropriate regulation that safeguards competition while creating new incentives for investment."
The commissioner's stance, however, could set her on a collision course with UK regulator Ofcom, which has previously ruled out such regulatory intervention - and would prove deeply unpopular with UK ISPs.
In comments to the government's eCommerce forum earlier this week, however, Ofcom head Ed Richards emphasised that there had to be a favourable business climate to regulation before the watchdog should attempt to impose such incentives.
"Ofcom's role is to deliver a robust regulatory framework allowing industry to deploy when there is a clear business case for doing so and in a manner which brings benefits to consumers," he said.
For her interest in trying to make broadband firms pay for new networks themselves, Ms Reding was recently voted Internet Villain of the Year by the ISPs trade association, the Register reports.
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