Computer & Communication Industry Association
PublishedJanuary 28, 2025

Upcoming EU Telecom Rules Must Avoid Undermining Digital Competitiveness, Roundtable Concludes

Brussels, BELGIUM – A broad group of EU policymakers, regulators, industry leaders, and NGOs convened in Brussels yesterday to discuss Europe’s path toward its 2030 connectivity goals. The debate focused on the forthcoming Digital Networks Act (DNA) and how it can drive innovation, without endangering the open internet or slowing AI and cloud uptake. 

The high-level roundtable was convened by the Computer & Communications Industry Association (CCIA Europe) to address risks to Europe’s digital competitiveness, including potential new regulatory burdens and misguided arbitration mechanisms, as well as the urgent need to broaden the technology debate beyond 5G and fibre.

Many participants cautioned against a DNA that imposes additional obligations on content delivery networks (CDNs) and cloud services. Indeed, both European cloud providers and global hyperscalers warned that such measures would stifle innovation, undermining the EU’s own target of 75% business adoption of AI and cloud technologies by 2030. 

For example, extending the European Electronic Communications Code (EECC) to include cloud providers, digital services, and CDNs was flagged as particularly problematic. Experts, including digital rights and consumer groups, warned that the EECC’s arbitration mechanism could act as a backdoor to network usage fees, contravening net neutrality.

Despite being rejected in two subsequent public consultations by a majority of stakeholders, calls for the introduction of an arbitration mechanism in the DNA continue to persist.

The two-hour debate also touched on the Universal Service Obligation, with various participants underlining the need for Europe to focus on more cost-effective technologies. Low-Earth orbit satellites were highlighted as an example of technology that can connect underserved and remote areas across Europe, saving the EU tens of billions in subsidies by 2030, which instead could be used for other connectivity priorities.

As the Commission prepares to unveil the DNA later this year, CCIA Europe’s roundtable underscored the need for EU policies that promote innovation, protect net neutrality, and make better use of available funding. 

The following can be attributed to CCIA Europe’s Policy Manager, Maria Teresa Stecher: 

“Europe’s 2030 connectivity goals are within reach, but achieving them requires the European Union to take a more comprehensive approach – one that fully embraces cloud computing, artificial intelligence, and alternative connectivity technologies like satellites.” 

“The Digital Networks Act should focus on leveraging all available technologies. That’s why the European Commission should refrain from imposing additional obligations or regulatory burdens – as it would discourage the adoption of innovative connectivity technologies and digital services, harm consumers, and add unnecessary costs to Europe’s digital economy.”

“Unfortunately, the demand that online content and application providers should have to pay telecom operators for internet traffic that customers already paid for, seems to be still alive.”

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