Why Enel gave up Open Fiber
Open Fiber, 5G, fiber: what Enel says and thinks
Enel declares its foray into the 5G business closed. After the sale of 50% of Open Fiber, the company led by Francesco Starace has no plans to invest in this front at a national level. This, at least, is what emerges – according to Radiocor – from the answers to the questions of the shareholders, published by the energy group before the shareholders' meeting scheduled for 20 May 2021. All the details.
THE SALE OF OPEN FIBER
Let's start with what has happened in recent months. Last April, Enel sold 10% of Open Fiber to Cassa Depositi e Prestiti Equity, after having previously approved the sale of 40% to Macquarie Infrastructure & Real Assets, completing the transfer of the stake held in this infrastructure project.
The sale "was not 'forced', but represents the conclusion of a strategy aimed at providing the country with a key infrastructure and creating value for the Group through its sale to subjects who will manage it", Enel specified, responding to the shareholders.
TOWARDS NEW INVESTMENTS?
Will new investments in the sector come in the future? Not in the next one, if we look at the internal market. “At the moment Enel has no plans to invest in a new national 5G network”.
THE ROLE OF FIBER
Enel itself, replying to shareholders , reminds that “from a technological point of view, 5G sites must necessarily be fiber-bound to ensure connectivity suitable for satisfying network performance and the growing demand for data traffic. Open Fiber will therefore be able to exploit its territorial capillarity and the technological quality of the access network to address a large slice of the future connectivity market. A fiber optic network can work without 5G, a 5G network cannot exist without fiber optics ”.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/energia/perche-enel-ha-mollato-open-fiber/ on Thu, 20 May 2021 12:23:09 +0000.