Tiscali 2014 Annual Report Download - page 9

Annual financial report as at 31 December 2014
Date
File Name
Status
Page
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Annual Report as at 31
December 2014
9
3.2 Regulatory background
The main spheres of regulatory intervention which have been witnessed during 2014 and the first few
months of 2015 are illustrated in a concise manner below.
New analysis of the significant markets by the European Commission
Within the sphere of the review process which the European Community periodically performs in
relation to the significant markets (which will continue to be regulated until 2020), the same launched a
new recommendation in 2014 used to redefine the perimeter of the prior regulation for electronic
communications.
In particular, the recommendation reduced the number of markets subject to prior regulation, which
drop from the current 7 to 4, establishing the deregulation of the retail market for access to fixed
telephony and the wholesale market for the collation of calls in fixed workstations, deeming the
competitive conditions of both to be adequate.
The markets which continue to present strong barriers to entry by contrast remain regulated:
i. Market 1: Wholesale supply of the termination service of the calls on individual public
telephone networks with fixed workstation;
ii. Market 2: Wholesale supply of the termination service of the voice calls on individual mobile
networks;
iii. Market 3:
a. Local access to wholesale with fixed workstation;
b. Central access to wholesale with fixed workstation for fast moving consumer products;
iv. Market 4: Access to high quality wholesale with fixed workstation.
Significant developments of the network and the services
With regard to the fixed network interconnection services the Authority has defined a process for the
gradual reduction of the price and publication of resolution No. 71/14/CIR is underway which fixes the
rules which ensure the migration towards the IP platform, thus achieving an obligatory step towards
the development of the Italian network.
With regard to termination services on the mobile network, the Authority recently placed a new
resolution (16/15/CONS) up for consultation, which will lead to the definition of the new price list for the
three-year period 2014-2017.
If the draft is approved without amendments, the resolution will introduce two innovations of
importance:
 as from 1 January 2014, the same price list will be applied to all the notified operators (the
price asymmetry in force in favour of H3G ceases);
 again as from 1 January 2014, also infrastructured virtual operators (Full MVNO) would be
recognised as operators “with significant market power”, and subject to the obligation of price
control.
Both the measures go in the direction of opening up the mobile market to new entrants, within the
context of the European approach, explicitly favourable to the symmetry in the prices also for MVNOs.