TRAI has proposed removing the cap on the number of telecom operators that wired Virtual Network Operators (VNOs) can partner with in a licensed service area (LSA). That recommendation aims to enhance the quality and availability of wireline services by allowing VNOs to source bandwidth and connectivity from multiple telecom providers.
Additionally, TRAI suggests permitting VNOs to pair with different telecom operators for wireless and wireline services. This increased flexibility is intended to address service availability issues and enable VNOs to offer more comprehensive connectivity solutions, thereby improving overall network resilience and fostering greater competition.
TRAI also addresses wireline connectivity issues by promoting multi-parenting, which aims to improve service availability and quality. Specific conditions are proposed for EPABX systems to ensure that multi-parenting does not compromise service quality, including requirements for logical partitioning between different telecom operators’ traffic and lawful interception systems for internet services.
Additionally, TRAI recommends that VNOs use telecom infrastructure exclusively for the type of service they provide, whether wireless or wireline, to avoid complications related to spectrum usage and charges. TRAI acknowledges the challenges VNOs face in India, including difficulties in securing network access and regulatory hurdles. These issues highlight the need for regulatory reforms to support VNOs more effectively.
Cyprus and Greece are making progress in talks about the creation of a high-speed electric cable network, known as the Great Sea Interconnector, linking Europe to the Middle East through the Mediterranean seabed. The project aims to connect transmission networks from Greece via Crete and Cyprus to Israel, with an estimated cost of €2.4 billion, of which €1.9 billion covers the Cyprus section.
Once complete, the interconnector will be the world’s longest and deepest high-voltage direct current (HVDC) cable, stretching 1,240 km and descending to 3,000 metres. The European Union has expressed its willingness to finance part of the project, which is expected to be completed by 2030. However, overlapping jurisdictional claims in the Mediterranean, involving Greece, Cyprus, and Turkey, could present future challenges.
Cyprus has sought clarity on its financial contribution and the potential impact of geopolitical risks, particularly concerning Turkey’s opposition, which could lead to delays and additional costs. Deputy government spokesperson Yiannis Antoniou said discussions have made progress, and the issue may be raised in an upcoming cabinet meeting.
The matter is also set to be discussed during a meeting between Cypriot President Nikos Christodoulides and Greek Prime Minister Kyriakos Mitsotakis in Athens later this week.
Russia’s Telecommunication Technologies Consortium (TT Consortium), which includes Rostech, Rostelecom, and Element, has raised serious concerns about the country’s new import substitution requirements for telecom equipment. The consortium has formally communicated to the Ministry of Industry and Trade and the Ministry of Digital Transformation that the proposed targets for domestic components are unachievable.
According to the TT Consortium, the domestic market in Russia needs more suitable alternatives to many foreign components, making the mandated thresholds for domestic content impractical. Furthermore, the consortium has warned of potential severe repercussions if the stringent regulations are adopted in their current form. They fear the resolution could lead to the suspension of decisions recognising telecom equipment as domestic starting 1 December 2024. Consequently, this could result in no domestic telecom equipment being available, disrupting supply chains and impacting key sectors, including government operations and critical information infrastructure.
Additionally, the Telecommunication Technologies Consortium has criticised the draft government decree’s ambitious targets, which require telecom equipment to include 10% domestic components by 2026, 30% by 2028, and 60% by 2030. Manufacturers within the consortium argue that redesigning equipment to meet these requirements is daunting, given the current state of domestic component availability. They assert that such redesigns could lead to significant operational disruptions and hinder their ability to supply essential equipment to government clients and critical infrastructure entities.
Telecommunications Industry Ireland (TII) advocates a reduction in VAT on internet access services delivered via fibre and 5G fixed wireless access (FWA) from 23% to 13.5%. This proposed cut is designed to support the National Connectivity Strategy’s goals, targeted for achievement by 2028.
Furthermore, TII views this VAT reduction as essential for bridging the digital divide, particularly in rural areas, by making high-speed internet more affordable and ensuring equitable access. Continuous upgrades to telecom infrastructure are also vital for meeting the demands of remote working, online education, and other digital services.
As data traffic surges due to digital transformation and AI adoption, ongoing investment in infrastructure becomes crucial for maintaining Ireland’s competitive edge and realising broader economic and social benefits. On the other hand, Telecommunications Industry Ireland (TII) highlights the significant economic impact of the telecommunications sector.
The sector employs 24,000 people with an annual payroll of €1.6 billion, and it has invested approximately €3.5 billion in network infrastructure over the past five years. Additionally, it contributes €2.7 billion annually to local suppliers. This substantial economic footprint underscores the sector’s critical role in Ireland’s economy and emphasises the necessity for supportive fiscal policies to sustain its growth and investment.
Intel has announced a two-year delay in its plans to build mega chip-making factories in Germany and Poland, citing lower demand than expected. Despite significant government subsidies, Intel decided to pause the projects, which had been seen as a boost for both countries’ national industries. The decision comes as a setback after months of negotiations between German officials and the company, which resulted in increased subsidies for the €30 billion project.
In Poland, Intel had planned to establish a semiconductor factory near Wroclaw, supported by $1.8 billion in funding. While European plans have been delayed, Intel confirmed its US projects remain unaffected, with the company receiving $3 billion in direct funding to bolster domestic semiconductor manufacturing for the US military.
Additionally, Intel is scaling back its investments in Malaysia but will continue expanding its capacity in Ireland, which will remain its primary European hub. The delay in these European projects reflects the broader challenges faced by the EU as it aims to increase semiconductor production and reduce reliance on Asian markets.
Intel’s decision comes at a time when European nations are seeking to strengthen their chip manufacturing capabilities after recent supply chain disruptions. As demand for semiconductors remains crucial to industries such as defence and electronics, both Germany and Poland face delays in their plans for industrial growth.
PCCW Global and GalaxySpace partner to expand low-Earth-orbit (LEO) satellite services into international markets, initially focusing on Hong Kong and countries along the Belt and Road. By leveraging GalaxySpace’s advanced LEO satellite technology, PCCW Global enhances its satellite offerings while GalaxySpace broadens its market reach through PCCW Global’s extensive international network.
The partnership aims to extend high-speed connectivity services to underserved regions’ consumers, enterprises, and government entities. Additionally, mobile network providers can expand coverage in remote areas using direct-to-cell technology, which enables mobile phones and smart devices to connect directly to LEO satellites for voice, SMS, and broadband services without traditional infrastructure.
With PCCW Global’s network spanning over 3,000 cities worldwide, this collaboration strengthens global connectivity across key regions. PCCW Global and GalaxySpace partner to capitalise on the benefits of LEO satellites, which reduce latency by 90% compared to traditional geostationary/geosynchronous orbit (GEO/GSO) satellites.
Why does this matter?
This low-latency technology enables new applications across sectors like maritime, aviation, IoT, and drone services. LEO satellites’ increased speed and efficiency provide opportunities for innovative connectivity solutions, improving access to fast, reliable communications for industries that rely on real-time data and seamless communication.
SEACOM and the ICT SMME Chamber have formalised their collaboration with a newly signed memorandum of understanding (MoU), aiming to significantly bolster support for small, medium, and micro enterprises (SMMEs) within the telecommunications sector. That strategic partnership is set to empower SMMEs by providing them access to SEACOM’s channel partner program, which offers a comprehensive suite of support services.
These include the installation, maintenance, and support of digital infrastructure, as well as facilitating marketing initiatives, inter-business coordination, and personnel training. Through these efforts, SMMEs will gain the opportunity to leverage advanced digital services, with SEACOM providing resources such as Cloud, Connectivity, On-premise Network, and Cybersecurity solutions. This approach is designed to accelerate the digital strategies of SMMEs and enhance their operational efficiency.
SEACOM and the ICT SMME Chamber recognise the vital role of SMMEs in driving economic growth and job creation in South Africa. The MoU underscores their commitment to advancing an inclusive digital economy. The signing ceremony in Bryanston, Johannesburg, highlighted the importance of the initiative and its potential impact on South Africa’s digital landscape. By combining their resources, SEACOM and the ICT SMME Chamber aim to support SMMEs, enhance operational efficiency, and contribute to a more dynamic and equitable economy.
The Indian government has introduced draft guidelines mandating over 50% local value addition for 36 telecom products in government procurement. That initiative aims to bolster domestic manufacturing and stimulate innovation within the sector. The guidelines seek to develop a robust local ecosystem and encourage the growth of indigenous technology solutions by prioritising products such as routers, optical fibre, and satellite phones.
However, the Indian government’s decision to exclude 5G equipment from the list of products requiring local sourcing has raised concerns among industry stakeholders. While the new rules are broadly welcomed, the omission of 5G gear is seen as a potential impediment to India’s ambitions in global telecom markets. The exclusion could affect the development and export potential of Indian 5G solutions, creating uncertainty about how the industry will meet domestic and international demands.
The Indian government has recently tightened policy measures by excluding imported items from local content calculations. This adjustment, along with excluding royalties, technical charges, and repackaged goods, aims to ensure that only genuinely locally produced items are considered in procurement processes. These changes are part of a broader effort to strengthen the ‘Make in India‘ initiative and enhance the competitiveness of domestic manufacturers, supporting startups and established companies in developing and producing telecom equipment domestically.
PLDT and CICC have launched a major initiative called PROTECTA Pilipinas to enhance the security and resilience of the Philippines’ telecommunications infrastructure. This public-private partnership brings together key players in the telecom sector, including PLDT, Smart Communications, and the CICC, along with other stakeholders like the Philippine Chamber of Telecommunication Operators, CitizenWatch Philippines, Infrawatch PH, and others.
The primary goal of this alliance is to implement comprehensive protection measures that address cybersecurity and physical infrastructure security. The initiative focuses on enhancing network resilience through redundancy and disaster recovery plans while bolstering cybersecurity protocols to protect against digital threats. On the physical side, PROTECTA Pilipinas aims to tackle issues such as equipment theft and vandalism and will establish monitoring systems to assess the health and performance of telecom facilities regularly.
PLDT and CICC focus on timely reporting and legal protections as part of PROTECTA Pilipinas. The alliance will develop mechanisms for reporting suspicious activities and advocate for legal measures to protect telecom infrastructure from vandalism and theft. Additionally, they will collaborate with government bodies to align on policies and regulations, creating a robust framework to secure critical telecom assets and promote best practices across the Philippines.
EXA Infrastructure has agreed to acquire Global Communications Net AD (GCN), a leading Bulgarian telecommunications firm with an extensive fibre optic network spanning over 2,500 kilometres. This acquisition will significantly bolster EXA’s footprint in South-Eastern Europe and enhance its regional strategic assets.
Facilitated by DB Capital Ltd, KND Partnership Ltd, and Sofia Connect EAD, the deal is anticipated to be finalised in the fourth quarter of 2024, subject to standard conditions. Integrating GCN’s offerings—including dark fibre, wavelength, and colocation services—will expand EXA’s network to 155,000 kilometres across 37 countries, providing crucial access to key interconnection points in Türkiye, Greece, Romania, North Macedonia, Serbia, and Georgia.
In addition to these benefits, EXA Infrastructure will gain from GCN’s extensive network infrastructure, which includes over 2,500 kilometres of owned duct and cable connecting Sofia with Bulgaria’s borders and Black Sea coast cities. This network is essential for current and future subsea cables, establishing a vital east-west corridor. Moreover, EXA will acquire 100 kilometres of the metro network within Sofia, enhancing connectivity between major data centres and business hubs.
