Telecom Sector Supports New Focus But Calls for Deregulation
Europe must “restart the dynamism” of its economy if it wants to meet its goal of becoming the world’s most competitive knowledge-based society by 2010, European Commission (EC) Pres. Jose Barroso said Wed. He unveiled a report, approved by the EC, that calls for a focus on growth and employment to meet the so-called Lisbon Agenda goals. Europe’s mobile and telecom sectors welcomed the revamped strategy and used Barroso’s announcement to press for roll-back of sector-specific regulations.
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Five years after its launch, the Lisbon Agenda has accomplished many things, including opening Europe’s telecom market, Barroso told European Parliament (EP) members. But, he said, “we know this progress is not enough” because many citizens haven’t benefited. He called for “no more foot-dragging” by member states in adopting European Union (EU) laws and regulations and said more money must be set aside for research and development and efforts to promote new technologies stepped up.
Europe’s mobile operators Wed. urged the EU Luxembourg presidency to speed the Lisbon process by removing constraints on their industry. GSM Europe said it welcomed the EC’s new emphasis on growth and innovation. “3G is the engine that will drive the Lisbon Process forward by providing a platform for new and innovative services and delivering the extra capacity required” to allow Europeans to connect to the information society, said GSM Europe Chmn. Kaisu Karvala. However, she said, “stringent sector-specific regulation risks undermining the investment incentive.” GSM Europe also asked the Presidency to pave the way for appropriate regulation on m-payments so consumers can take advantage of the convergence of mobile and the Internet.
The “combination of increasing competition and the convergence of technologies calls for a deregulatory approach,” said the European Telecom Network Operators’ Assn. (ETNO). Instead of focusing on facilitating market access, the EC should “encourage risk-taking and investment,” ETNO said. Rolling back sector-specific laws would send investors a positive signal, the group said.
Former Dutch Prime Minister Wim Kok, who last year slammed the EU for its “disappointing delivery” of the Lisbon Agenda, earlier this week called the Lisbon goal “a bridge too far.” Kok reportedly told European venture capitalists that meeting the 2010 targets will be difficult if not impossible.