The EU Commission yesterday, February 28, 2023, has unconditionally granted the competition law clearance for Alpen Glasfaser GmbH, the joint venture of Magenta Telekom and Meridiam. This strategic partnership between the two companies for Austria’s largest private fibre optic expansion initiative was announced in August 2022.
The newly founded company Alpen Glasfaser GmbH can therefore and immediately start with the expansion of fibre optics in many regions of Austria from spring this year. By 2030, Magenta and Meridiam intend to jointly invest EUR 1 billion to connect more than 650,000 Austrian households and businesses to high-speed internet (FTTH). Alpen Glasfaser will take care of building the networks, while Magenta Telekom will market the products and services for end customers. The networks will also be opened up to other partners at a later date.
The two partners Magenta and Meridiam have put together an experienced management team consisting of three members for the management of Alpen Glasfaser: Johannes Gungl, former head of the regulatory authority RTR and currently managing director of the RML Infrastructure GmbH (also a Meridiam investment), which is about to construct a fibre optic network in the district of Liezen. Robert Jelinek-Nacke, an internationally experienced finance manager who, among other things, held positions in the finance department of the Deutsche Telekom Group for many years and Oliver Prostak, who, in addition to this function, is also co-CEO of Meridiam Glasfaser in Germany.
Rodrigo Diehl, CEO of Magenta Telekom: ” We can now keep our promise for Austria: In the next few years we will invest heavily in the expansion of our high-speed network and connect hundreds of thousands of new households and businesses in many regions of Austria to the gigabit network.”
Stephan Wehrmann, Business Development Director DACH Meridiam: “We can now start the Joint Venture’s fibre roll-out and expansion immediately. At Meridiam, we have a mission to develop sustainable infrastructures that improve people’s quality of life. We look forward to rapidly expanding the Joint Venture’s fibre infrastructure in Austria, enabling access to high-quality internet and creating long-term positive value for society.”
Magenta is Austria’s largest and fastest growing Gigabit provider
In February 2022, Magenta already announced 1 billion euros for its own fixed and mobile network expansion; if both projects are added, a total of 2 billion euros will flow into the expansion of gigabit-capable internet lines for up to 1 million new homes and businesses and 5G coverage. Magenta is already Austria’s largest and fastest growing gigabit provider with 1.55 million households and businesses served on the basis of a hybrid fibre and coaxial cable network, of which the fibre share is over 90 per cent. The joint venture with Meridiam will ensure that the Magenta Gigabit offer will reach a total of 2.5 million (60 percent) of all households and businesses by 2030. The largest gigabit network in the country will remain the leader for ultra-fast internet in the future.
Meridiam active in Austria since 2005
Meridiam specializes in the development, financing, and long-term management of sustainable public infrastructure in three core sectors: sustainable mobility, critical public services and innovative low carbon solutions. Meridiam has held close ties with Austria since 2005 when it first partnered with ASFINAG to finance and operate the A5 motorway north of Vienna. Meridiam has also already committed to invest more than €150 million to connect up to 60,000 households in Styria’s Liezen district to high-speed fibre internet through a 50-year contract with the local municipality.
Meridiam also has strong and demonstrated experience in the fibre space outside of Austria. With further investments in Germany, Romania and North America, Meridiam has committed over EUR 1.7 billion to connect of over 1.5 million households to high-speed internet worldwide. All of Meridiam’s projects in this space focus on connecting underserved people to high quality internet with the ambition of closing the broadband gap between communities and the most globalized and digitalized urban centres. All projects are implemented in close cooperation with local municipalities and with close regard for the needs of the community.
Further information for interested municipalities: www.magenta.at/unternehmen/glasfaserausbau/gemeinde