KPN subsidiary Base do not want to invest in Wallonia mobile network




KPN has indicated that his daughter Base no longer wants to invest in the Walloon part of its network. Especially the so-called network base fee would put pressure on profitability. Other Belgian providers argue that the investment climate is unfavorable for telcos.

Jos Donvil, ceo at Base, late Datanews know that the telecom company will not continue to invest in its mobile networks in the Walloon part of Belgium. According to the director further investment is unprofitable now the local tax burden is increasing. Especially the announced network base fee would cause the provider virtually no profit can make more.

Donvil says Base will not decide to abort the current network in Wallonia. That, according to the CEO, after all cost the same as breaking down cell towers. Also sharing masts with other providers would not be feasible because these often use different technology and there must also be applied for new licenses.

The announcement of Base would primarily mean that there is no longer working in Wallonia to improve the network, for example in sparsely populated areas. Also it seems that the rollout of 4G networks in Wallonia Base will be placed at risk.

Base is not alone in his criticism. Fellow providers Mobistar, Proximus, Telenet and Voo on Monday indicated that the profitability of the sector is under pressure, writes De Standaard. They therefore urge the federal minister responsible for a stable government and equal treatment for all parties in the sector, so that long-term investments are profitable. The question is whether the federal government will be able to do so, because municipalities and regions may introduce new taxes itself.

In: Technology & Gadgets Asked By: [18418 Red Star Level]

Answer this Question

You must be Logged In to post an Answer.

Not a member yet? Sign Up Now »