TIM to become a “digital player”
24 November 2017 | Natalie Bannerman
Telecom Italia (TIM) has confirmed its attentions to become a “pure digital player and not a telecoms operator” said its CEO Amos Genish at an event in Turin.
TIM is said to reveal a brand new business plan in either February or March of 2018, outlining its strategy from then to the year 2020.
Though no amount of investment has been confirmed, Genish did say that the company is open to working with organisation that would help to build the infrastructure that would enable the digital transformation for Italy, including rival Open Fiber which is owned by utility Enel and state lender CDP. Though he was quick to add that it is not interested in merging with the competitor.
“We are open to discuss any collaboration that is beneficial for the parties as well as the country,” said Genish.
Genish also expressed that TIM is in the best position in Italy to lead the next wave of digital transformation because of its €4 billion investment and its focus on new technologies rather than legacy networks.
When questioned on the growing tensions between TIM and the Italian government in Rome over Vivendi’s controlling influence in the company, Genish said: “We are in full collaboration with the government on how to implement the golden power. We have every intention of fully complying with the golden power decision ... we are on a very positive track of discussion.”
The golden powers if exercised by Rome would enable the government to veto actions such as asset sales and mergers at businesses deemed to be of strategic national importance.
Italian undersecretary for the telecommunications sector, Antonello Giacomelli was at the event and was the first government representative to officially appear at a TIM event in three years in dictating progress in relations between the two.
Commenting at the event, Giacomelli said: “I have had the chance to appreciate the effort and quality of the projects presented by TIM. As a government, we count on the collaboration of private operators to win a challenge that should be tackled with a long-term vision not only for infrastructure but also for innovative services.”
Earlier this month, Genish indicated that he was unsure of whether or not TIM should retain its 100% stake in the wholesale carrier Sparkle. In an interview with Il Sole 24 Ore Genish is quoted as saying: "There is no need to have 100%."