ROME, June 18 (Reuters) - Telecom Italia’s decision to spin off its domestic fixed-line network could be an opportunity for the whole telecommunications sector, the head of Italy’s antitrust authority said on Tuesday.
The board of Italy’s biggest phone company approved on May 30 a plan to hive off fixed-line network assets into a new company, a move that could help it raise cash and that could trigger a regulatory overhaul.
“The decision to spin off the network is very important and must be seen with interest, in order to guarantee equal access to all operators,” Giovanni Pitruzzella said in his annual report. “The network separation process could represent an opportunity for the sector.”
Pitruzzella also said the economic crisis could push power producers to consolidate to cut costs as demand stagnates, raising the likelihood of price increases. (Reporting By Alberto Sisto, writing by Danilo Masoni)