1&1:Regulatory Environment

Return to: 1&1 | Company News

Service Provider Obligation

September 7, 2023: Ahead of the BnetZa Advisory Board meeting scheduled to be held at the end of September, 24 telecommunication operators iincluding 1&1 have published a report criticizing the weak competition in Germany and want access to competitors’ 5G network. “As a leading economic nation, Germany cannot afford to leave large parts of digitalization to the oligopoly of the three largest European network operators,” said Dommermuth. Dommermuth wants “fair access to the necessary frequency spectrum - without being slowed down in favor of the established operators.” Part of the Advisory Board’s meeting agenda will be to decide compulsary opening up of 5G networks, known as service provider obligation. In the most recent spectrum allocation, service provider obligation was waived though in the previous license auctions, service providers were obliged to allow their competitors access to the networks at a fair rental value.

Antenna Sites Obligations

June 1, 2023: Federal Cartel Office responds to accusations of Vodafone and its subsidiary Vantage Towers by 1&1. “It is clear that to develop its own mobile phone network a company has to make high investments and take entrepreneurial risks when taking such a step. It is a key task of competition law to set fair rules of play for companies’ business practices,” said Andreas Mundt, President of the Bundeskartellamt, when announcing the investigation,"Andreas Mundt, president of the Federal Cartel Office, said in a statement. "Powerful and dominant companies must not unfairly impede other companies. We will therefore scrutinise whether there are sound reasons for a delay in the provision of antenna locations for 1&1," He added.

April 27, 2023: A fine proceeding has been opened by the Federal Network Agency against 1&1 for failing to meet its 1,000 antenna sites obligations at the end of 2022. According to a January letter by the authority, up to 50,000 euros fines per location was being considered but it is assumed that the fine will be lower. The proceeding gives 1&1 the opportunity to comment and the more valid the arguments the lesser the fines. 1&1 spokesperson said the proceeding came as a no surprise while adding that "1&1 will take a stand against the authority as part of the hearing.

White Spots Obligations

May 25, 2023: According to Handelsblatt research, 1&1 is also far behind on its targets for closing gaps in the network than previously thought. In 2018, the company agreed with the Federal Network Agency to build radio towers in 400 areas considered to be lacking coverage. So far, 1&1 has only completed work in seven of those areas and 32 radio towers are currently under construction. The regulatory body had set the dateline for building the towers to Dec. 31, 2021 but has extended it indefinitely. Federal Network Agency has also lowered its target to a maximum of 200 extra tower locations as a result of increased costs. But that may not be company-specific issue though as incumbent operators have also not made great strides in closing the "white spots".