Telecom Italia wrestles with Europe’s biggest COVID-19 dent

Telecom Italia (TIM) has released its latest financial results, revealing painful battle scars as European nations continue to fight the coronavirus pandemic.

While it should come as little surprise when you look at which countries were most severely impacted by COVID-19, the figures have confirmed it. Telecom Italia is still profitable, which is often forgotten when companies miss expectations, but the impact of the coronavirus pandemic has been very notable.

Total revenues for the three-month period to March 31 stood at €3.9 billion, down 11.3% year-on-year, while profits declined 10.8% year-on-year to €1.7 billion.

Financial results for European telcos through to March 31 (Euro (€), thousands)
Telco Revenue Year-on-year Profit Year-on-year
BT (£) 5,632 -4% 2,007 -2%
Telecom Italia 3,964 -11.3% 1,735 -10.8%
Orange 10,394 1% 2,602 0.5%
Telefonica 11,366 -5.1% 3,760 -11.8%
DT 19,943 2.3% 6,940 7.4%

Although it does look like business as usual at Deutsche Telekom, let’s not forget that as well as the country effectively combatting the coronavirus, the Group also contains T-Mobile US, which has been flying over the last few years. Total revenues in the US grew 0.3% to $11.1 billion over the quarter, while profits shot up 11.6% year-on-year to $3.6 billion.

What is worth noting is that it is not all bad news at Telecom Italia. This is a company which is under extraordinary pressure because of a truly unforeseeable event, but previous initiatives to create a healthier and more sustainable business are seemingly working. Improvement in cash generation (14% year-on-year increase) and debt reduction (down €923 million) have continued through the three-month period thanks to strategic initiatives launched in 2019. The underlying business model and strategy is still theoretically sound.

One of these projects, the network sharing agreement with INWIT and Vodafone, and subsequent sale of a stake in the towers joint venture, contributed €650 million to the debt reduction mission. Negotiations with KKR, for the sale of a minority share of the secondary fibre network, are continuing which will also reduce debt. It is not necessarily perfect scenario to be offloading assets, but needs must occasionally when pressure mounts on the spreadsheets.

It might be tempting to look at the surface figures, but it is always important to remember that COVID-19 is creating trading conditions no-one could foresee. TIM is still a business which is under threat from a highly competitive landscape in Italy, but the reaction from the team still looks competent.

Looking at the non-financial performance data, TIM Vision, the content platform saw a 20% increase in active users across the period, though mobile subscriptions dropped 579,000 year-on-year. IOT connections slightly compensated, but not enough. In fixed broadband, net customer losses across both consumer and wholesale totalled 233,000. It is clear the business is still adjusting to the new market dynamic with Iliad on the scene.

Segment Subscriptions Year-on-year
TIM Vision (TV) 1.85 million 21%
Mobile 20.42 million -2.8%
Fixed (retail) 8.98 million -1.5%
Fixed (wholesale) 8.01 million -0.6%

Telefonica and TIM circling bankrupt Oi for Brazil expansion

With the troubles of Brazilian telco Oi plain for everyone to see, Telecom Italia and Telefonica are sniffing out an opportunity for growth in market with significant potential.

Telecom Italia (TIM) has confirmed in a letter to shareholders that it and Telefonica have approached Bank of America Merrill Lynch, Oi’s financial advisor, to jointly purchase the telco’s mobile operations. This should not be taken as a sign of any merged business operations, but more corporate opportunism in a market which has potential for riches as the digital society beds-in.

What is worth noting is this acquisition would only be for the mobile business unit. The broadband and fixed line units would continue as an independent operation. As the country’s largest broadband business, the collapse of the wider group would certainly be a much larger problem.

Telco Subscriptions Market share
Telefonica – Vivo 77,793,156 34.5%
TIM Brazil 55,044,418 24.4%
Oi 35,844,975 15.8%

Statistics curtesy of Omdia World Information Series (WIS)

What is slightly unusual is the level of competition which will be left in the market. Outside of these three service providers, only Claro offers a competitive threat, meaning the market will shrink from four to three. Many regulators would get twitchy at such a thought, though it seems this is not a worry for Telefonica or TIM.

Although the extinction of the Oi brand is not something Brazilian authorities would have wanted to see, it is an entirely predictable outcome. Oi has been searching to offload the mobile business unit, and the financials have not been painting a pretty picture.

Period Total revenue Net income
Q3 2019 5,001 -5,747
Q2 2019 5,091 -1,559
Q1 2019 5,130 568
Q4 2018 5,365 -3,359
Q3 2018 5,481 -1,336
Q2 2018 5 545 -1,258
Q1 2018 5,668 30,543

Figures in Brazilian real (millions)

The incredibly large net income figure during Q1 2018 is down to a cash injection from various different distressed asset funds. Roughly $1 billion was injected into the business as part of the restructuring process following the telcos decision to file for bankruptcy in 2016. In the years following this saga, financial reform was introduced in Brazil thanks to this saga, though the capital raised could not entirely save the business.

Oi’s misery is a gain for the European duo, both of whom have big plans for the Brazilian market moving forward. There are of course many questions which still remain, for example, how will the assets be split between the pair, but it is still early days in the acquisition process.

TIM annual revenues drop 5.1% but eyes future through convergence

Telecom Italia has reported its financial results for 2019, with Group revenues standing at €17.97 billion, a 5.1% year-on-year decline.

While performance in the Brazilian business stood relatively stable in comparison to the previous year, the domestic Italian unit saw the dramatic drop. Revenues in Italy were €14.08 billion, a 6.3% decline, as competition in the market continues to take a bite out of the operator’s fortunes.

Although this does not make for the prettiest of pictures, the Board of Directors has also approved the 2020-2022 Strategic Plan. As part of the plan, TIM has outlined several key objectives for the next 24 months:

  • Increase Equity Free Cash Flow to €4.5-5 billion
  • Bring group net debt below €20 billion by 2021. Proceeds from the sale of 12.4% of INWIT will contribute towards this element of the plan
  • Group Organic Services Revenues will decline slightly over this period, as are Revenues from Domestic services
  • Domestic Capex is expected to be roughly €2.9 billion each year

In the consumer division, convergence is the key word. The core business of connectivity is key to this drive, though adjacent services (TV, smart home, security or gaming for example) are expected to grow revenues and improve the resilience of the business. The deployment of ultrabroadband services is another area to bolster the offering here.

Another interesting element of the consumer business unit is the ‘TIMVision’ initiative. This content proposition is taking more of an aggregator approach and is starting to look very healthy. Partnerships with Disney, Netflix, Sky, Dazn and Amazon are creating an attractive platform, which when bundled effectively, might give TIM an edge in the ultra-competitive environment.

Looking at the business and whole elements of the business, these are two areas which have been primed for growth by the team. The recently announced partnership with Google Cloud will certainly open up new opportunities in the increasingly important cloud services market, while tie-ups with the likes Olivetti in IoT and Telsy in cybersecurity have the potential to open new revenue streams.

In wholesale, the full-fibre deployment plan will see 5.1 million homes passed in 2022. Opening up this network does increase competition in the market, though the wholesale opportunity does look like an attractive one.

Looking at the financials and competition elements of TIM alone does not create the most comfortable reading. Italy is a tricky market, though TIM is pivoting to create a more diversified and future-proofed business. The groundwork looks to be effective but soon enough the team will have to enter into execution phase. There is opportunity, but Italy is a fast-evolving market.

TIM secures exclusive Disney+ deal in Italy

Telecom Italia has been announced as the exclusive partner for Disney+ in the country, with services set to be launched on March 24.

With the content and connectivity worlds becoming increasingly intertwined, telcos who are not able to offer a TV service within a bundle might look less attractive. This is the theory, which still needs to be genuinely ratified, though bundling content into connectivity packages is certainly not going to do any harm. With Disney+, Telecom Italia (TIM) has found a very attractive partner.

“We are proud that Disney has chosen TIM as its strategic partner in Italy,” said CEO Luigi Gubitosi. “This agreement comes within the strategy adopted by TIM to pursue alliances with major international players in various segments, to offer cutting-edge products and services.

“Adding Disney+ gives a major boost to the strategy of TIMVision as Italy’s leading aggregator of premium content in the Italian TV industry, in a context where convergence between telecommunications and content will play an increasingly key role in the group’s future, thanks to the development of ultrabroadband and 5G.”

Available across all devices, the TIMVision content platform does look to be an attractive proposition. While some telcos have chosen to secure fortunes through owning content rights, TIM has gone the more steadfast, and perhaps more sensible, direction of becoming a content aggregator. In fairness to TIM, it has done a pretty good job in creating a decent offer, one which will only be enhanced by Disney+ content.

Although Disney has been quite quiet over the last few weeks, it did proclaim during the earnings call that Disney+ had secured 28 million subscriptions in the first six weeks. Perhaps more impressive, is these numbers are only representative of the US market.

Outside the US, streaming video on-demand (SVoD) services have been gathering momentum. Uptake has not been on the same aggressive scale everywhere compared to the US, though bundling content packages in with local connectivity service providers has been a successful venture for Netflix to date. Taking these lessons to heart, Disney is targeting Italy with TIM, has partnered with Sky in the UK and Verizon in the US.

Google Cloud gathers telco momentum with new partnerships

Google Cloud has announced two new partnerships with Telecom Italia, T-Systems and AT&T in an effort to build momentum in the burgeoning enterprise connectivity world.

Starting with Telecom Italia (TIM), Google will help the telco build public, private and hybrid cloud services as enterprise customers become more important in the new era of connectivity. As with every telco, the enterprise segment is one being heavily targeted by TIM, with plans to exceed €1 billion in annual revenues with more attention being paid to cloud and edge services.

“This strategic partnership with Google places TIM among the Italian key players in Cloud and Edge computing, two markets that will become more and more central with the deployment of 5G technology and Artificial Intelligence,” said TIM CEO, Luigi Gubitosi. “By choosing to join forces with a recognised global technological and innovation leader we confirm our commitment to promote and accompany Italy’s digital progress.”

As part of the agreement, Google Cloud will partner with TIM to open new cloud regions in Italy, with the telco suggesting it has developed training programmes involving 6,000 people in the commercial, pre-sales and technical areas. With a larger data centre footprint across the region, new services will be developed focusing on low latency and high-performance cloud-based workloads and data.

Over in Germany, the tie-up between Google and T-Systems will focus on digital transformation and managed services, with T-Systems providing consulting services, migration support and managed services to enterprise customers leveraging Google Cloud capabilities.

“Our joint goal is to support organizations in their digitization and to improve business processes with the cloud,” said Adel Al-Saleh, CEO of T-Systems. “This partnership is a core element of our strategy, generating value-add for our clients with managed cloud services.”

As part of the partnership, T-Systems will create a Google Cloud competence centre which will focus on creating customised cloud solutions and services for its customers. Services will focus on large-scale workload migrations to the cloud, SAP application modernization, development of new AI and ML solutions, as well as solutions for data warehouse and data analytics in the cloud.

Finally, the partnership between Google and AT&T will aim to develop 5G edge solutions in industries like retail, manufacturing and transportation.

“Combining AT&T’s network edge, including 5G, with Google Cloud’s edge compute technologies can unlock the cloud’s true potential,” said Mo Katibeh, CMO of AT&T Business. “This work is bringing us closer to a reality where cloud and edge technologies give businesses the tools to create a whole new world of experiences for their customers.”

Partnerships between local telecoms companies and the internet giants are starting to become more common and Google has been leveraging local expertise and presence. In India, Google has struck a deal with Airtel to offer its productivity suite. This deal was announced a few months after a similar tie up between telco Reliance Jio and Microsoft Azure.

Elsewhere, Google has partnerships with CenturyLink for areas such as cloud enablement, migration services, SAP and big data, NTT Data in Japan, BICS in Belgium and China Mobile, just to name a few.

As the lines between telecoms and ICT continue to blur, these partnerships will become much more common and deeply entrenched. However, there does seem to be a slight shift in mentality, with the telcos bringing network assets to the party and leveraging the cloud power of Silicon Valley. Telcos are highly unlikely to be able to compete with the likes of Google Cloud and AWS when it comes to software and services, so why bother?

There is clearly a lot for both parties to gain from these partnerships, though telcos are leaning more towards working with the cloud giants as opposed to competing with them directly. Perhaps a much more sensible approach.

Italian telcos fined for pricing collusion

Telecom Italia, Fastweb, Vodafone and Wind Tre have been fined a total of €228 million after an investigation found the four telcos had co-ordinated price hikes for consumers in 2017.

The complaints against the four telcos had been raised by Iliad, a fifth service provider in the market, as well as Onlus CODES Association and Altroconsumo, two consumer rights groups. The investigation has now been formally concluded with Telecom Italia taking a €114 million fine, Vodafone €60 million, Wind Tre €39 million and Fastweb €14 million.

Telcos are of course allowed to raise prices as they see fit, though when it is done in such a collective manner to prevent churn and competition, regulatory authorities will become nervous.

In this case, the Italian Competition Authority (AGCM) found the telcos aligned their commercial activities which violates item 137 of the Italian consumer code, though it is somewhat of a complicated story.

The Italian telco decided to move from a monthly billing cycle to a 28-day one in 2017, though as the prices were not decreased during this transition. Consumer and advocacy protests focused on the 8.6% price hike which would be experience over the course of the year, as the telcos were effectively creating a thirteenth billing month.

In 2018, the telcos decided to pivot back to the monthly billing standard, though there would be a price increase to compensate for the shift. The consumers were back to square one but were paying more for the pleasure.

The AGCM has now concluded the co-ordination between the telcos allowed each to keep the inflated tariffs, made it unnecessarily difficult to compare tariffs and unfairly prevented the consumer from searching for a better deal.

While it is very difficult to 100% guarantee the consumer will be safeguarded from underhanded and nefarious corporate practices, the AGCM is at least dishing out fines which will make a material impact on the spreadsheets. The telcos will of course be able to afford these fines, but the amount will certainly make them think twice about trying this sort of thing again.

Could Iliad Italia be a victim of Corporate Darwinism?

Iliad’s Italian business unit has lodged complaints with Italian and European regulators regarding network sharing deals, but could these objections be effectively ignored?

While network sharing is a proposition which offers great benefits to cash-strapped telcos in pursuit of the eye-wateringly expensive 5G connectivity dream, it is not without its opponents and critics. Some regulators have become very defensive about the progressive idea, while there are telcos being left out of discussions who are objecting also.

In Belgium, Telenet has raised concerns over a tie-up between Orange and Proximus, while the European Commission prevented O2 and T-Mobile from expanding an existing agreement to include 5G in the Czech Republic. Both of these network sharing partnerships have been halted in the pursuit of maintaining attractive levels of competition, but Iliad’s objections might fall on deaf ears.

Iliad is objecting to network sharing agreements between Wind Tre and Fastweb, as well as another between Telecom Italia and Vodafone Italia. Iliad is the only major telco in Italy not to be in a network sharing discussion. If these partnerships bear fruit, efficiencies will be realised, meaning competitor funds can be redirected elsewhere.

If this is a prediction of the future, Iliad will be in a weakened position to compete in the Italian market, and financial pressures could become too much to justify the venture. Iliad could become a victim of Corporate Darwinism.

The competition versus consolidation conundrum

Competition has been somewhat of a difficult topic of conversation between the regulators and telcos in recent years, primarily because of the polar-opposite opinions on market consolidation. The telcos would like to consolidate to achieve scaled economics, while the regulators want to preserve the number of telcos in each of the markets to maintain competition and encourage investment.

There are pros and cons on either side of the fence, though the regulators do not seem to be shifting. This argument has knock-on effects for network sharing agreements.

Ovum’s Dario Talmesio points out, network sharing could be viewed as consolidation through the backdoor. Combined assets reduces the number of independent networks in the market, and potentially reduces investments and competition.

In the Czech O2 and T-Mobile case, the European Commission suggested as there were only three major players in the market, further combination of assets between two of the parties would present too much of a risk of the third being squeezed out. The same case has been presented by Telenet to the national regulator in Belgium.

Regulators are sensitive to any propositions which would negatively impact competition in a market, but what about markets where the number of telcos could actually be reduced?

How much is too much competition?

While there is no official stance on the number of telcos in a market, the European Commission does not generally approve activities which would reduce the number of telcos below four. Vetoing the O2/Three merger in the UK, or Telia/Telenor in Denmark are two examples, but this might not be the case in Italy.

If regulators were to allow the network sharing agreements to proceed, Iliad would certainly be in a very precarious position, though there would still be four mobile service providers in the country; Telecom Italia, Vodafone Italia, Wind Tre and a Fastweb proposition enabled by its agreement with Wind Tre. This might be deemed enough competition in Italy to maintain a healthy market for the consumer and a financially sustainable one for the telcos.

The four telcos named above are venturing into untested waters here. This presents a new question for the regulators to answer on competition. Theoretically, suitable levels of competition are being sustained, and this network sharing dynamic has been approved by regulators in the past.

In the UK, Three and EE have formed MBNL, while Vodafone and O2 have CTIL. These are passive infrastructure sharing joint ventures, focusing on the rural environments. It is a similar situation which would be created in Italy, and the UK does have a sustainable telco industry. It is evidence that the dynamic could work, with or without Iliad in the mix.

Could this be a case of Corporate Darwinism?

Corporate Darwinism occurs when a market evolves to such a degree that players are either irrelevant or uncompetitive, and therefore go out of business.

The best example of this is Blockbusters. Once a dominant player in the movie rental business, as the distribution of content moved online the proposition of Blockbusters was no-longer relevant, therefore the company did not survive. This is an example of a market evolving to such a degree that the business was no-longer relevant.

The Iliad example is perhaps one where the market evolves to such a degree that the business is no-longer competitive.

If the four remaining mobile service providers have network sharing initiatives driving network deployment, investments can be more intelligently spend (a) on the network, or (b) in other areas of the business.

The shared networks might have a greater geographical footprint, have future-proofed technology and higher performance specs. Theoretically, Iliad would churn subscribers to higher quality rivals. Also, as less money is being spent on network deployment, tariffs could be lower, but profitability could be maintained. Or, more cash could be invested in value-add propositions for products. Rival offerings could look more attractive than Iliad products.

If regulators approve the network sharing agreements between Telecom Italia and Vodafone Italia, alongside Wind Tre and Fastweb, Iliad would find itself in a very difficult position. It become difficult to see the telco surviving in the long-term.

Unfortunately for Iliad, there is a coherent argument to approve the partnerships to drive towards a more sustainable telecoms industry, allowing the telcos to realise efficiencies ahead of the vast expenditure of 5G. The consumer would benefit, as would enterprise customers and the Italian economy on the whole. It might be a case of letting Iliad die out for the greater good of the Italian telecoms sector.

Network slicing is becoming the unescapable buzzword of the month

Every couple of months a new buzzword emerges, and it starts to emerge in pretty much every conversation. Now its network slicing staking a claim for the title.

Featuring in almost every presentation at the 5G Core conference in Madrid this week, the technology certainly has a lot to live up to. However, like the cloud, virtualisation or digital transformation, it is claiming its 15 minutes of fame, though the promise and potential is very grand.

Although it might not should like the most revolutionary aspect of the quickly evolving telco landscape, it offers so much opportunity to evolve the business and grow revenues. As Franz Seiser of Deutsche Telekom put it, the one-size-fits-all 4G network cannot deliver the fortunes investors have been promised so frequently as the industry wades through this tenuous period.

Network slicing is critical. The idea of creating customisable networks and specific products for enterprise is only achievable through the implementation of network slicing. Or, it can be achieved through more traditional means of network deployment, but this would not be commercially attractive. Soon enough, a slice could be designated for low-latency services in the energy industry, the high-speeds demanded by broadcasting or the resilience and reliability insisted upon in the manufacturing space.

It also adds into the drive towards network convergence.

As Maria Cuevas of BT pointed out during her presentation, network convergence has been attempted in the past, though it has failed. However, baby-steps are being made towards realising the convergence dream, as well as the operational and financial benefits, and network slicing will add further to the momentum.

This is not the only trend which Cuevas is keeping an eye-on, but the ability to designate traffic to specific slices adds notable momentum to the operational side of a converged network.

However, there are still challenges. The next 3GPP standards release in March 2020 should add some much-needed clarity, though many of the questions which telcos are facing today are operational not technical.

Technical challenges are not a problem realistically, according to Telecom Italia (TIM) SVP Lucy Lombardi; a solution will always emerge. The issues which are currently being dealt are much more business focused. Does TIM want slices to be fixed or dynamic? Who will control the functionality of the slice, TIM or the customer? Will roaming be a slice? What kind of industry collaboration does it need?

The technical challenges will gradually dissolve as vendors propose new ideas and telcos present success stories at conference, but the business questions which have been mentioned above are perhaps more challenging. This is where a telco can add value, create differentiation and attract customers.

The 5G networks which are currently being deployed are no-longer driven by the demands of the consumer. The consumer is of course still important, but the 5G network is being designed and deployed to realise the benefits of the enterprise connectivity world. And network slicing is a critical component of this dream.

Vodafone Italia and TIM join the network sharing bonanza

Vodafone’s Italian business and Telecom Italia are the latest pair to join the sharing euphoria which seems to be sweeping the Vodafone group.

After network sharing agreements were signed in Spain with Orange and O2 in the UK, Vodafone has swept across to Italy to join forces with market leader, albeit a stressed business currently, Telecom Italia.

“This agreement will enable us to step up the rollout of 5G for the benefit of our customers and the community as a whole,” said Aldo Bisio, CEO of Vodafone Italia. “5G has a key role to play in modernising the country.

“It will provide the technology platform from which to launch innovative new services capable of making business models more efficient and improving productivity throughout the value chain, helping to build a more competitive digital economy. Network sharing reaps the benefits of 5G and at the same time reduces the impact on the environment and lowers rollout costs, allowing more investment in services for customer.”

This announcement actually has two components to it. Firstly, in pursuit of an accelerated 5G deployment plan, Vodafone Italia and TIM will enter into a network sharing partnership which will include active equipment. Secondly, the Vodafone passive tower business will be merged with INWIT, TIM’s own tower business.

Starting with the first component, once again Vodafone has decided to go down the route of sharing active equipment. This was the case when pooling resources in the UK with O2, though it is a slightly unusual approach as the only differentiator now is the spectrum which the duo has acquired individually. However, like the UK the larger cities will be excluded from the network sharing partnership.

Although sharing active equipment has been viewed as relatively unusual in the past, perhaps this is an indication of Vodafone’s position in both of these markets. In the UK, it is sitting firmly in third place in the market share rankings with a lot of ground to make up, while in Italy there are financial pressures thanks to the pricing disruption of Iliad. In both cases, Vodafone will welcome opportunities to free-up cash.

Using this approach, Vodafone suggests it will be able to free-up €800 million over the next 10 years which will certainly be useful for other R&D or reallocating for customer acquisition efforts.

The second aspect of this deal will see the Vodafone Italia tower business merge with TIM’s INWIT, with Vodafone taking a 37.5% and a lump sum of just over €2 billion. What we’re not too sure about is how this will impact the potential spin-off of Vodafone’s tower business in the future.

This was an announcement which got investors excited last week, as Group CEO Nick Read suggested monetizing the tower infrastructure business alongside declining revenues for the latest quarterly statement. This seemed to have forced a positive reaction from the market, though presumably any Italian assets would now have to be excluded from a European-scaled tower infrastructure business.

TIM hits the 5G go-button

Telecom Italia is the latest telco to join the 5G bonanza, announcing launch of its own network in Turin, Naples and Rome.

The launch is limited for the moment, though it seems TIM is confident it can scale very quickly. By the end of the year, an additional six cities (Milan, Bologna, Verona, Florence, Matera and Bari) will be added to the list, as well as 30 tourist destinations, 50 industrial districts and 30 specific projects for big business.

By 2021, TIM has set itself further ambitious targets; coverage for 120 major cities, 200 tourist destinations, 245 industrial districts and 200 specific projects for big business. The dreaded ‘up-to’ metric has also made an appearance, with speeds ‘up to’ 2 Gbps promised by the end of the year, progressing to 10 Gbps by 2021, when it is also promising 22% population coverage for 5G.

What hasn’t been detailed is the number of base stations which will be upgraded to 5G over the coming months and years. It’s all well and good to ‘have’ 5G in Turin, Naples and Rome, but without knowing the number of base stations which are 5G there is little way to gauge the coverage footprint. It might end up meaning very little unless you are stood in the perfect spot just outside the entrance to Vatican City.

Onto pricing, TIM has elected to take the SIM-only approach, with the option to bolt on a subsidised handset as an additional product. For €29.99 a month, users will have a data allowance of 50 GB, with unlimited calls and SMS, while the data pool is increased to 100 GB for €49.99 a month.

Interestingly enough, the most attractive offers which we have seen around the world for 5G have been SIM-only plans. Vodafone in the UK has taken this approach, while T-Mobile US has done the same also. Telcos have wanted to distance themselves from the profit churning subsidised handset model for years and perhaps this is further evidence of this. Whether a SIM-only approach to 5G, with optional bolt-ons for subsidised handsets, becomes a defining trend, only time will tell.

Another excellent move from TIM is the roaming. Although there are few telcos who have announced roaming plans, Vodafone is one of the only ones to do so, TIM has suggested it will offer 5G roaming in six countries, starting within July in Austria, the UK and Switzerland and moving on to Spain, Germany and the UAE soon after.

The announcements are coming think and fast as we move closer to the 5G dream, but this looks like one of the more comprehensive ones to date.