Structural seperation advancing in telecoms, esp. in Italy

After a bad example in Australia (the NBN debacle), good ones in New-Zealand (Chorus and Spark) and Czech Republic (CETIN, PPF), a formal one in Denmark (TDC NET and Nuuday still in the TDC Holding structure - waiting for Nuuday to be offloaded) and nearly one in the UK (Openreach still in full BT ownership), structural separation may now happen in Italy. Ireland (eir, NBP, SIRO) also looks like a candidate (esp. now that Virgin Media Ireland is becoming a SIRO customer).

Here is what is going on at TIM:

• 21 Nov. 2021: KKR considers a friendly offer of 0.505 EUR/share (equity valuation EUR 10.8b). Net debt was EUR 22.5b.
• 7 and 17 Dec. 2021: Management changes.
• 15 Dec. 2021: Profit warning.
• 26 Jan. 2022: Industrial Plan draft.
• 14 Feb. 2022: Industrial Plan update.
• 2 Mar. 2022: Q4 results and Industrial Plan 2022-2024 (NetCo and ServCo). CVC and Iliad have shown interest in buying a stake in ServCo.
• 4 May 2022: Q1 results, plans Capital Markets Day 7 July.
• 29 May 2022: NetCo (incl. FiberCop) spin-off and Open Fiber merger proposal; NetCo valuation EUR 20b (rumor); CDP Equity to own 70-77%, KKR 12-15%, Macquarie 10-13% (rumor).
• 1 June 2022: Vivendi (24%) objects to valuation (current market cap EUR 5.9b, net debt EUR 17.7b).
• 7 June 2022: 1,200 job cuts by Nov. 2022.
• 20 June 2022: Vivendi demands NetCo valuation of EUR 31b, to take on EUR 10b debt

TO BE UPDATED

Week 42 in Telecoms, Internet, Media

Networks

FTTH

• Macquarie: KCOM (UK) to expand across Humber to Barton and Brigg, 10k HH, GBP 100m
• Spectrum (UK): Spectrum raises GBP 200m for 150k FTTP HP in south Wales
• Antin, Goldman Sachs: Cityfibre starts roll-out in Slough, GBP 24m
EQT: Deutsche Glasfaser reaches 650k FTTP HP in >700 projects in 150 towns in NRW, total cost >EUR 1b; to add >6m premises in DE in medium term, EUR 7b 
• GCI (US) to expand to Aleutian communities with $25m federal grant (total cost $58m)
• Vivacom (Bulgaria) orders XGS-PON from Nokia to replace active ethernet & to extend
• Bharti Airtel (India): Rumor: Bharti Airtel plans FTTH to 40m HH in >1000 cities in 12-18 m

4G

• Telenet launches FWA over 4G service for low-income families, 5 EUR/mo

5G

• Nokia 5G Readiness Report
• Telstra reaches 2000 5G sites in 60 cities, pops coverage 40%
• Optus opens 5G for wholesale, has 12 MVNOs (2SG, Acurus, Amaysim Group, Bendigo Telco, BTB, Circles.Life, Commander, Dodo, iPrimus, Moose Mobile, SpinTel, Southern Phone, Vocus); reaches 900 5G sites
• Telefonica ES reaches all 50 provincial capitals + 400 towns
• EE (BT) expands 5G to 12 new cities: Aberdeen, Aldershot, Barrhead, Blackpool, Castleford, Crawley, Mirfield, Oxford, Porthcawl, Shipley, Stafford, Warwick (total 112)
• Rakuten Mobile partners with STC (KSA) to develop virtualised Open RAN
• Verizon's 5G UWB (mmave, ma 4 Gb/s) reaches 55 cities (target 60 YE 2020), 43 stadiums, 7 airports; 5G Nationwide (based on DSS, 30% faster than 4G) reaches 200m pops in 1800 cities
• Apple launches iPhone 1 ith 5G, 4 models https://www.telecompaper.com/news/apple-introduces-four-new-iphone-12-models-with-5g--1357703
• Samsung launches its cheapest 5G smartphone Galaxy A42 5G
• Spark expands to Auckland (Viaduct area)
• Rogers expands 5G to total 130 cities
• OnePlus launches OnePlus 8T smartphone with 5G, 2 models: 8 GB RAM + 128 GB storage for EUR 600; 12 GB RAM + 256 GB storage for EUR 700
• KPN renews core network, with Ericsson
• Telekom DE (DT) partners with 1. FC Köln to develop AR/VR over 5G, 3 yr from 2021/22 season
• Polish MNOs (Orange, Play, Plus, T-Mobile) expect no demand for mmWave (26 GHz) services before 2022/23 for lack of CPE
• Tango (Proximus) to launch 5G in Lxembourg City 201023, no add-on price
• Orange ES to offer wholesale to Euskaltel, to launch 220101
• Verizon offers 5G wholeale to Comcast, Charter
• Rakuten targets 'level 4' network automation in 2 yr

6G

• ATIS establishes Next G Alliance to advance North American leadership in 6G; with AT&T, T-Mobile, Verizon, US Cellular, Facebook, Microsoft, Qualcomm, Bell Canada, Telus, Ciena, InterDigital, JMA Wireless, Telnyx

M&A

• Deutsche Telekom: T-Mobile NL acquires Simpel (MVNO, 1m subs, 23 employees) from Parcom, mgt
• EQT: EQT Infrastructure V to co-invest in Deutsche Glasfaser for 12% stake
• Orange: Les Echos: plans partial sale of rural OA FTTP networks (Orange Concessions, 4m HP), valuation EUR 1.8-2.0b
• GTT: Sells infra division (sub-sea fiber, datacenters) to I Squared Capital, $2.02b cah + $130m earn-out
• Liberty Global: Sunrise offer: 82% accepted (minimum acceptance was 67%), additional acceptance period 15-28 Oct 2020, Sunrise EGM 201109, settlement 201111
• Stripe: Acquires Paystack (Nigeria), rumored price >$200m

Corporate

• Telefonica: Merges 3 global units (wholesale, roaming, MNE) into Telefónica Global Solutions
• China Broadcasting Network Co (CBN) to launch as #4 MNO (has 700 MHz & 4.9 GHz spectrum) in China via 51/49 JV with others (State Grid Information & Telecomm, Alibaba Venture Capital Mgt, Guangdong RTV Network, Beijing All Media & Culture) [see 200521]
• Walt Disney: Plans reorganisation to focus on streaming/D2C: content creation units Studios, General Entertainment, Sports; distr unit Media & Entertainment Distribution; other unit (Disney Parks, Experiences & Products) remains; plan Virtual Investtor Day 201210
• AMC Entertainment: May face liquidity problem from end 2020 due to corona virus

IPO

• Big Hit Entertainment: IPO price KRW 135k, first trade 270k
• Roblox: Confidential IPO filing SEC; >150m MAU
• CurioityStream: Plans IPO through merger with SPAC, symbol CURI; trading starts 201015: closes at $1.43

Video

• Netflix
• Ends free trial in all markets
• Distr deal for Narcos (series, 5 seasons) with Pluto (AVOD, = ViacomCBS) in US from 201020 (1 eaon per  month)
• ViacomCBS: To close SVOD service Smithsonian Channel Plus, all content moves to CBS All Access
• WarnerMedia: Launches WarnerMedia Ride (app): in-car streaming
• Chili: Adds AVOD tier
• DAZN: Applies for linear license in DE for DAZN1 & DAZN2
• Snap: Snapchat launches Sounds: add music to Snaps & Stories

Communication

• Google: Plans to launch Chat 2021 as standalone app & integrated in Gmail (as upgrade to Hangouts)

Hardware

• Google
• Nest launches new Nest Thermostat, $130
• X develops farming robot (project Mineral)
• Integrates Meet in Google Glass Edition 2 (beta for Google Workspace users)
• Amazon: Amazon Prime Day (201013-201014) in 19 countrie: US, UK UAE Spain, Singapore, Netherlands, Mexico, Luxembourg, Japan, Italy, Germany, France, China, Canada, Belgium, Austria, Australia, Turkey, Brazil; to spend >$100m on promotional activities to help SMEs; early deals on Amazon products & services start 200928 - 3rd-party sellers sold $3.5b (+60% yoy), savings for Prime subs $1.4b - Strikes in DE
• Apple: Hi, Speed event: launches
• iPhone 12 (5G, iOS 14, A14 Bionic chip; USB-C adapter, 4 models; Mini : 5.4 inch from $700; 6.1 inch from $800; 6.1 Pro from $1000; Pro Max 6.7 inch from $1100)
• HomePod mini smart speaker ($100; with Siri; S5 & U1 chips, central hub for HomeKit devices, supports Pandora, Amazon Music, iHeartRadio, with Siri-controlled Intercom feature for all iOS devices)
• MagSafe to iPhone 12 & Apple Watch: magnetically attached chargers ($40), wallet ($60), cover ($50)

Regulatory

Telecom

• Min EZK (NL) to submit Telecom Code (EECC) implementation law to Raad van State end 2020, then to Parliament, EU deadline for implementation 201221

Self-regulation

• YouTube
• Bans coronavirus vaccine misinformation
• To ban content targeting individuals & groups with conspiracy theories (QAnon, pizzagate)
• Facebook: Bans Holocaust denial, distortion posts; not for other genocide (Armenia, Randa) - Bans anti-vaccination ads
• Twitter: Bans Holocaust denial posts

Platform regulation

• Amazon: Reuters: EU antitrust case (started July 2019) to focus on dual role (selling platform & private label product seller); separate investigation into data used in selection of Buy Box winners
• Internet Platforms advise EU to leave regulating harmful content out of DSA
• FT: EU to focus on 20 largest platforms; to share data, increase transparency
• NL & FR propose separate EU regulator for gatekeeper platforms; platform subject to intervention should at least have considerable market power in at least one market; propose principle-based obligations (right to data portability for business users, fair contracts) & prohibited practices (disruptive self-preferencing, halting access for 3rd-party providers of services or goods, incl APIs & data without objective justification), case-by-case remedies (access obliigations: obligation to proactively offer alternatives to users, safeguarding interoperability, data sharing obligations)
• FCC proposes Section 230 interpretation to deny special immunity to social media, plans rulemaking - FCC jurisdiction disputed
• Facebook and Twitter limit sharing NY Post article over containing hacked material and private information - US Senate to subpoena Twitter CEO Dorsey to testify 201023