TIM may secure major payout from FiberCop–Open Fiber deal, CEO says

Yesterday 15:30

Italian telecom operator Telecom Italia SpA could be entitled to receive up to 75% of the financial benefits generated by FiberCop in the event of a commercial agreement with rival network operator Open Fiber, according to its chief executive.

FiberCop, a major wholesale broadband infrastructure company in Italy, is jointly owned following a transaction led by investment firm KKR & Co Inc. The potential agreement under discussion would involve a form of commercial cooperation or integration between FiberCop and Open Fiber aimed at accelerating the rollout of high-speed internet across the country.

The CEO of TIM explained that, under existing contractual terms, the company could receive additional compensation depending on the outcome of the deal. This payment could represent up to 75% of the synergies generated by FiberCop if a commercial arrangement is successfully concluded.

The broader agreement structure also includes a possible additional payout of up to €2.5 billion if a transaction is completed within a defined timeframe. However, company executives have expressed uncertainty over whether a full merger between the two network operators could realistically be finalized within the expected deadline.

Analysts view the negotiations as part of a wider effort to streamline Italy’s broadband infrastructure and improve digital connectivity, while also reducing fragmentation in the telecom sector.

FiberCop plays a central role in managing Italy’s fixed-line network infrastructure, while Open Fiber is focused on expanding fibre-optic coverage across underserved areas. Any form of collaboration between the two firms could significantly reshape the competitive landscape of the Italian telecommunications market.

Market observers note that the outcome of these discussions will be closely watched, as it could influence investment strategies, regulatory decisions, and the future structure of Europe’s telecom infrastructure sector.