Broadband ‘key’ to Spain’s progress

30 August 2004

MADRID – Spain’s telephone giant Telefónica announced Monday it is to invest EUR 3 billion in broadband technology in the country between 2004-08.

The president of Telefónica, César Alierta said he considered this technology key to improve the country’s rising economic performance and to enrich Spain.

Alierta said his company had already invested EUR 2 billion in broadband and wanted to invest another EUR 3 billion in the next four years.

He said Telefónica had already invested EUR 250 million in the so-called third generation mobile phone technology and was ready to invest another EUR 1 billion between 2003-06.

Alierta said governments had an important role to play to reduce the regulations in the market.

He appealed for a reduction of the regulations affecting ADSL lines.

Alierta stressed the importance of the telecommunications companies in the development of the multi-media sector and the investment made by companies such as Telefónica in training staff and clients in how to use this new technology.

He claimed that in two years, half the homes in Western Europe will be connected to broadband.

He said last year his company had invested EUR 1.9 billion in research and development – or seven percent of their turnover.

Alierta claimed Telefónica was the fifth biggest investor in the research and development in this sector.

Terra, Telefonica’s subsiduary company, may launch a new ADSL service in Mexico, said Alierta.

[Copyright EFE with Expatica]

Subject: Spanish news