WELCOME
LADIES AND GENTLEMEN,
DEAR FRIENDS,
I AM DELIGHTED TO HAVE YOU HERE WITH US TODAY IN THIS BEAUTIFUL SPACE IN THE MUSEE ANTOINE BOURDELLE, FOR THE PRESENTATION OF THE ELECTRONIC COMMUNICATIONS AND POSTAL SERVICES REGULATORY AUTHORITY’S ANNUAL REPORT FOR 2008. I WOULD LIKE TO THANK THE MUSEUM’S CURATOR FOR HOSTING US FOR THE FOURTH TIME NOW.
THIS EVENT PUNCTUATES THE AUTHORITY’S AGENDA EVERY YEAR AND, EVEN IF IT IS AN EXERCISE REQUIRED BY LAW, THIS PRESENTATION PROVIDES ARCEP BOARD MEMBERS AND STAFF WITH AN OPPORTUNITY TO COMMENT THE ACTIONS THEY HAVE UNDERTAKEN DURING THE YEAR GONE BY.
ON BEHALF OF THE BOARD MEMBERS STANDING AROUND ME, I AM DELIGHTED TO WELCOME THE PERSONALITIES AMONG US TODAY, ESPECIALLY PUBLIC AND PRIVATE REPRESENTATIVES OF THE ELECTRONIC COMMUNICATIONS AND POSTAL SECTORS, AND MEMBERS OF THE PRESS.
INTRODUCTION/STRATEGIC OUTLOOK
I WOULD LIKE TO START WITH A QUICK OVERVIEW OF THE SECTORS COVERED BY ARCEP. AT A TIME OF SEVERE ECONOMIC CRISIS, THE ELECTRONIC COMMUNICATIONS SECTOR MANAGED TO SUSTAIN ITS MOMENTUM, WITH BOTH MOBILE AND FIXED OPERATORS REPORTING A 3.6% INCREASE IN REVENUE
THE MOBILE MARKET CONTINUES TO GROW, ALBEIT AT A LESSER PACE, WITH MOBILE CUSTOMERS REACHING A TOTAL 58 MILLION AT THE END OF 2008, 4.8% MORE THAN IN 2007, AND A CALLING VOLUME THAT EXCEEDED 100 BILLION MINUTES FOR THE FIRST TIME EVER. MARKET GROWTH IS NOW BEING SPURRED BY DATA TRAFFIC, WHICH ACCOUNTS FOR 17% OF MOBILE REVENUE, THANKS, ON THE ONE HAND, TO AN EXPLOSION IN THE NUMBER OF TEXT MESSAGES BEING SENT (UP 78% BETWEEN 2007 AND 2008) AND, ON THE OTHER, TO A SWIFT RISE IN THE NUMBER OF ACTIVE 3G USERS – WHICH CAN BE ATTRIBUTED IN PART TO A GREATER DIVERSITY OF SERVICES AND DEVICES IN THE MARKETPLACE.
FIXED SERVICE REVENUE CONTINUES TO INCREASE AS WELL – RISING BY 2.4% THIS PAST YEAR. THIS MOMENTUM CAN BE ATTRIBUTED TO BROADBAND: AT THE END OF 2008, THERE WERE CLOSE TO 18 MILLION BROADBAND CONNECTIONS IN FRANCE (CHIEFLY DSL, WHICH PLACES OUR COUNTRY AMONG THE WORLD LEADERS FOR THIS TECHNOLOGY). IP TELEPHONY TRAFFIC IS ALSO INCREASING AT A SUBSTANTIAL RATE (+42%), AND IS RESPONSIBLE FOR THE RISE IN TOTAL FIXED TELEPHONY TRAFFIC.
BEYOND THESE POSITIVE DEVELOPMENTS, THE BEGINNING OF A GENUINE DIGITAL REVOLUTION IS TAKING SHAPE. ACCESS ANYWHERE, ANYTIME TO INNOVATIVE SERVICES, AND TO UNLIMLITED INFORMATION FROM A VAST ARRAY OF SOURCES, HERALDS THE ADVENT OF WHAT SOME REFER TO AS THE "DIGITAL SOCIETY". IT IS UNEASY TO PREDICT THE NEW APPLICATIONS AND NEW BUSINESS MODELS THAT WILL EMERGE, BUT IT IS CLEAR THAT EVERY ASPECT OF OUR DAILY LIVES, BOTH PERSONAL AND PROFESSIONAL, WILL BE AFFECTED: CHANGES IN SOCIAL TIES WITH THE CONSOLIDATION OF NETWORK DYNAMICS; ECONOMIC SHIFTS AS USERS PLAY A GROWING ROLE IN CREATING VALUE; RECONFIGURATION OF PUBLIC SERVICES, ESPECIALLY IN THE FIELDS OF EDUCATION AND HEALTHCARE, AND OF DAILY DOMESTIC LIFE WITH HOME AUTOMATION AND TELEWORKING.
THIS IS THEREFORE A KEY MOMENT IN THE SECTOR’S EVOLUTION: A TIME OF MARKET CONSTRUCTION –OF CO-EMERGENCE OF SUPPLY AND DEMAND, IN OTHER WORDS. THESE NEW CHALLENGES REQUIRE STRONG ACTION FROM PUBLIC AUTHORITIES, AND PARTICULARLY FROM ARCEP WHICH IS COMMITTED TO MAINTAINING THE VIRTUOUS TRIPTYCH OF COMPETITION, INVESTMENT AND INNOVATION, WHICH HAS ENABLED THE SUCCESS OF BROADBAND IN OUR COUNTRY. I WILL COME BACK TO THIS IN A MOMENT.
IN THIS CURRENT STATE OF AFFAIRS, REGULATION REQUIRES NOT ONLY SHORT AND MEDIUM-TERM ACTIONS, BUT ALSO A LONG-TERM VIEW. IT IS ESSENTIAL THAT ARCEP BE ABLE TO MEASURE LONG-TERM TRENDS, THE MAJOR DEVELOPMENTS AND DISRUPTIONS THAT AFFECT OUR SOCIETY AND OUR ECONOMY, BEYOND OUR CORE AREA OF RESPONSIBILITY WHICH IS THE CAREFUL OVERSIGHT OF ELECTRONIC COMMUNICATIONS AND POSTAL MARKETS. THESE DEVELOPMENTS CONCERN A NUMBER OF AREAS, SUCH AS DEMOGRAPHICS, LIFESTYLE, URBAN PLANNING, HOUSING STRUCTURE OR EVEN THE VERY VALUES OF OUR FELLOW CITIZENS. THEY CAN, ULTIMATELY, HAVE AN IMPACT ON OUR SECTOR AND MUST BE TAKEN INTO ACCOUNT. THIS IS WHY, ALONG WITH THE MEMBERS OF THE BOARD, I WANT THE AUTHORITY TO HAVE THE SUPPORT OF A FORWARD-PLANNING COMMITTEE. THIS MULTIDISCIPLINARY COMMITTEE WILL BRING TOGETHER LAWYERS, ECONOMISTS, TECHNOLOGICAL EXPERTS, SOCIOLOGISTS AND PHILOSOPHERS, BOTH FRENCH AND FOREIGN. IT WILL BE DEVOTED TO DEBATING AND SHEDDING LIGHT NOT ONLY ON THE TASK OF REGULATION, BUT ALSO ON SOCIAL AND ECONOMIC NEEDS AND EXPECTATIONS, AND THOSE OF THE POPULATION AS A WHOLE. IT SHOULD BE ABLE TO HELP US TO MEET THE CHALLENGES RAISED BY THE DIGITAL SOCIETY I JUST MENTIONED.
I NOW COME TO THE THREE MAIN AREAS OF FOCUS FOR ARCEP, ASSOCIATED WITH THREE MAJOR PUBLIC POLICIES:
- ECONOMIC DEVELOPMENT AND JOB CREATION,
- FAIR AND BALANCED REGIONAL DEVELOPMENT,
- FURTHER INCREASING THE QUALITY OF THE SERVICES PROVIDED TO CONSUMERS.
A. ECONOMIC DEVELOPMENT
I – THE POSTAL SECTOR
I SHALL BEGIN WITH THE POSTAL SECTOR. WHAT STANDS OUT FROM 2008 IS THE ECONOMIC DOWNTURN AND ITS IMPACT ON POSTAL TRAFFIC: A 3% DECREASE WHICH, AS WE KNOW, IS GROWING GREATER STILL IN 2009. BUT 2008 WAS ALSO THE THIRD YEAR OF POSTAL REGULATION WHOSE FRAMEWORK WAS SET BY THE LAW OF MAY 2005. A PRELIMINARY ASSESSMENT IS PARTICULARLY USEFUL AT A TIME WHEN THE POSTAL AND ELECTRONIC COMMUNICATIONS CODE IS ONCE MORE BEING MODIFIED, HAVING TO ADAPT TO THE MARKETS BEING OPENED UP FULLY TO COMPETITION IN 2011, AS DECIDED BY THE POSTAL DIRECTIVE OF FEBRUARY 2008. THE DRAFT BILL TRANSFORMING LA POSTE INTO A PUBLIC LIMITED LIABILITY COMPANY WILL INDEED ACHIEVE THE TRANSPOSITION OF THIS DIRECTIVE.
IT IS COMMON VIEW, AND NOTABLY THAT OF ARCEP AND LA POSTE, THAT THE DEVELOPMENTS HAVE BEEN POSITIVE: REGULATORY PROCEDURES HAVE WORKED WELL, STARTING WITH THE POSTAL TARIFF FRAMEWORK. BACK IN 2006, ARCEP AND LA POSTE CHOSE A MULTI-ANNUAL PRICE-CAP BASED ON THREE-YEAR PERIODS, WHICH PROVIDES LA POSTE WITH OVER TIME TRANSPARENCY ON HOW MUCH LEEWAY IT HAS. AS A RESULT, INDIVIDUAL TARIFF CONTROLS WERE APPLIED IN A PERIPHERAL FASHION, ONLY TO ENACT SLIGHT SHIFTS IN THE OPERATOR’S POLICIES – ONE CASE IN POINT BEING THE SENDING OF SMALL ITEMS.
ON THE MATTER OF AUTHORISATIONS FOR COMPETING OPERATORS, FEW REQUESTS WERE SUBMITTED, WHICH IS DUE CHIEFLY TO THE NARROWNESS OF THE SEGMENT THAT IS CURRENTLY OPEN TO COMPETITION: 84% OF CORRESPONDENCE ITEMS WEIGH LESS THAN 50 GRAMS, SO FALL UNDER THE POSTAL MONOPOLY. I SHOULD POINT OUT THAT ARCEP HAS NOT ENCOUNTERED ANY PROBLEMS WITH THE ACTORS THAT HAVE ENTERED THE POSTAL MARKET.
ONE FLY IN THE OINTMENT, HOWEVER: QUALITY OF SERVICE OBJECTIVES MUST BE CLEARLY DEFINED, AT A LEVEL THAT MEETS CONSUMERS’ NEEDS AND EXPECTATIONS. ON THE OTHER HAND, THE RESULTS ARE VERY POSITIVE FOR THE ACTIONS PERFORMED WITH LA POSTE TO DISSEMINATE INFORMATION ON QUALITY – SOMETHING WE WANT TO CONTINUE AND EXPAND.
STARTING IN THE AUTUMN, PARLIAMENT WILL BE DEBATING AMENDMENTS TO BRING TO THE LAW OF 2005. THE AUTHORITY WILL CONTRIBUTE THE EXPERTISE IT HAS ACQUIRED DURING THE FIRST THREE YEARS OF REGULATION. THE GOAL HERE IS TWO FOLD:
- FIRST, FOR THE INCUMBENT OPERATOR TO ACHIEVE THE FLEXIBILITY NEEDED TO ADAPT TO A MORE DIFFICULT AND MORE COMPETITIVE ENVIRONMENT;
- SECOND, THE NEED FOR PUBLIC AUTHORITIES TO MAINTAIN CERTAIN FORMS OF LEVERAGE TO ENSURE A SUCCESSFUL TRANSITION TO A FULLY LIBERALISED MARKET.
IT APPEARS THAT, IN MOST COUNTRIES WHERE THE INCUMBENT OPERATOR IS IN A WEAKENED STATE, POSTAL OPERATORS ARE CONSIDERING THE POSSIBILITY TO ADJUST THE PERIMETER OF UNIVERSAL SERVICE OBLIGATIONS. NATURALLY, THE UNIVERSAL SERVICE MUST NOT BE SET IN STONE, BUT ANY CHANGES WARRANT A CAREFUL ASSESSMENT OF COSTS, ADVANTAGES AND RISKS WHICH DO NOT OVERLOOK THE POSSIBLE IMPACT ON DEMAND IN PARTICULAR. I BELIEVE THAT THE PARLIAMENT, THE GOVERNMENT AND ARCEP WILL BE VERY VIGILENT ON THIS POINT.
II – THE ELECTRONIC COMMUNICATIONS SECTOR
ON THE MATTER OF ELECTRONIC COMMUNICATIONS, AS I MENTIONED AT THE START OF MY SPEECH, THE PRIORITY IS CLEARLY THE DEPLOYMENT OF NEW, ULTRA HIGH-SPEED FIXED AND MOBILE NETWORKS. IT IS LOGICAL FOR PLAYERS AND PUBLIC AUTHORITIES TO FOCUS ON THE ROLLOUT OF THESE NEW NETWORKS AS INNOVATION IS NOT ONLY CRUCIAL TO THE ELECTRONIC COMMUNICATIONS SECTOR’S DEVELOPMENT, BUT ALSO A FANTASTIC DRIVING FORCE FOR SOCIETY. LOGICAL AS WELL SINCE EACH INNOVATION OPENS UP A NEW INVESTMENT CYCLE WHICH LEADS ALL THE STAKEHOLDERS TO TAKE UP A POSITION, ACCORDING TO THE MARKET’S EXPECTED TRAJECTORY. SUCH IS THE CASE WITH OPTICAL FIBRE AND ULTRA HIGH-SPEED MOBILE.
THE NOVELTY MUST NOT, HOWEVER, OVERSHADOW THE PERMANENCE OF THE CHALLENGE AT HAND – THE CENTRAL ONE BEING TO STIMULATE EFFICIENT AND LASTING INVESTMENT, IN OTHER WORDS ONE WHICH COVERS THE ENTIRE COUNTRY UNDER SATISFACTORY CONDITIONS IN TERMS OF PRICING AND LEVEL OF SERVICE. PAST EXPERIENCE HAS SHED LIGHT ON THE CONDITIONS THAT ARE ESSENTIAL TO ACHIEVING THIS: A TECHNOLOGY-NEUTRAL FRAMEWORK (LIMITED TO ONLY WHAT IS STRICTLY NECESSARY TO ENSURE THE INTEROPERABILITY OF THE SERVICES, WITHOUT GETTING INVOLVED IN CHOOSING BETWEEN TECHNOLOGICAL STANDARDS); A FRAMEWORK THAT STIMULATES COMPETITION, AND PARTICULARLY INFRASTRUCTURE-BASED COMPETITION WHEN POSSIBLE; SHARED DECISION-MAKING (IN AN EVER-CHANGING AND COMPETITIVE SECTOR); AN APPROACH TAILORED TO THE DIFFERENT REGIONS; AND, FINALLY, THE INVOLVEMENT OF LOCAL AUTHORITIES, AS MANAGERS OF PUBLIC PROPERTY AND OCCASIONALLY MARKET PLAYERS THROUGH A NETWORK OPERATED WITH A PRIVATE SECTOR PARTNER.
- FIBRE
ON THE MATTER OF OPTICAL FIBRE, IN RESPONSE TO THE WISHES OF THE POPULATION, THE GOAL OF PUBLIC AUTHORITIES, BOTH NATIONAL (PARLIAMENT, GOVERNMENT, ARCEP) AND LOCAL, IS TO ACHIEVE THE BROADEST AND FASTEST POSSIBLE COVERAGE OF THE COUNTRY, A PORTION OF WHICH WILL BE COVERED CHIEFLY BY ULTRA HIGH-SPEED MOBILE AND IN SOME CASES BY SATELLITE. EUROPE ALREADY LAGS BEHING ASIA IN THIS AREA, AND FRANCE NEEDS TO RISE QUICKLY TO THE TOP RANKS AMONG EUROPEAN NATIONS.
KICK-STARTING THE INVESTMENT CYCLE FOR FIBRE STARTS WITH ITS LARGE-SCALE DEVELOPMENT IN FRANCE’S BIGGEST CITIES.
THIS IS THE DIRECTION TAKEN IN THE DRAFT DECISIONS THAT ARCEP SUBMITTED TO PUBLIC CONSULTATION ON JUNE 22nd. IN VERY DENSELY POPULATED AREAS (WHICH WE ESTIMATED AT ROUGHLY 5 MILLION HOUSEHOLDS LOCATED IN THE GREATER PARIS AREA AND SOME 20 OTHER CITIES ACROSS THE COUNTRY), INFRASTRUCTURE-BASED COMPETITION IS POSSIBLE. BY USING FRANCE TELECOM’S CIVIL ENGINEERING DUCTS, THANKS TO REGULATION THAT ARCEP IMPLEMENTED IN 2008, SEVERAL OPERATORS ARE ABLE TO ROLL OUT THEIR OWN FIBRE IN THE STREETS OF THESE CITIES – WHICH THEY HAVE BEGUN TO DO. INSIDE OF BUILDINGS, ARCEP PROPOSED A FRAMEWORK THAT ENACTS THE PRINCIPLES DEFINED BY THE LEGISLATOR IN 2008, IN THE LAW OF MODERNISATION OF THE ECONOMY. THE BUILDING OPERATOR, WHICH IS DESIGNATED BY THE PROPERTY OWNER TO EQUIP THE BUILDING WITH OPTICAL FIBRE, MUST ALLOW COMPETING OPERATORS TO PROVIDE THEIR SERVICES TO THE BUILDING’S RESIDENTS. IN THESE ZONES WHERE, IN MANY CASES, SEVERAL NETWORKS ARE ALREADY INSTALLED IN THE STREETS, IT SEEMED PERTINENT THAT THIS TRANSLATE INTO THE INSTALLATION OF SEVERAL FIBRES IN BUILDINGS – PROVIDED, HOWEVER, THAT THE OPERATORS INVOLVED ASSUME THE COSTS THEY INCUR FROM THE OUTSET, AS WELL AS A PORTION OF THE SHARED COSTS.
IN SHORT, THIS SYSTEM HAS SEVERAL ADVANTAGES: IT GUARANTEES TECHNOLOGIAL NEUTRALITY AS IT ENABLES THE USE OF BOTH PON AND POINT-TO-POINT TECHNOLOGIES. SECOND, BECAUSE IT APPLIES CITY-WIDE AND NOT JUST AT THE BUILDING LEVEL, IT LIMITS THE POSSIBILITY TO ROLLOUT ONLY IN THE MORE DENSE AREAS INSIDE THE CITIES. NEXT, BECAUSE EACH OPERATOR IS ENCOURAGED TO INVEST, THIS AVOIDS ANY FREE-RIDING. AND, FINALLY, THE ADDITIONAL COST INCURRED FROM INSTALLING EXTRA FIBRE IS REASONABLE – 5% OF THE TOTAL COST, ACCORDING TO OUR INITIAL ESTIMATES, OR 15% OF TOTAL INDOOR INVESTMENTS – GIVEN THE LONGEVITY OF THE INSTALLED INFRASTRUCTURE (SEVERAL DECADES), AND KEEPING IN MIND THAT THIS ADDED COST IS SHOULDRED BY THE OPERATORS THAT GENERATE IT.
OUTSIDE THESE DENSELY POPULATED AREAS, NETWORK ECONOMICS REQUIRE A GREATER LEVEL OF SHARED INVESTMENT. ACCESS TO FRANCE TELECOM DUCTS AND SHARING THE VERTICAL PORTION OF THE ROLLOUT IS NOT ENOUGH, AND THE PLAYERS MUST SHARE ALL OR A PORTION OF THE HORIZONTAL NETWORK AS WELL.
THIS SYSTEM OF INFRASTRUCTURE SHARING CAN TAKE SEVERAL FORMS: CO-INVESTMENT BY SEVERAL PLAYERS IN A SHARED NETWORK, RECIPROCAL ACCESS AGREEMENTS BETWEEN OPERATORS, OR A REGULATORY DECISION FROM ARCEP IMPOSING A CERTAIN MINIMUM THRESHOLD OF SHARING. PUBLIC AUTHORITIES ARE ALSO LIKELY TO BE INOVLVED IN THESE INSTALLATIONS, WHETHER AS AN INFORMED INVESTOR (WHICH COULD BE THE CASE WITH THE CAISSE DES DEPOTS ET CONSIGNATIONS OR SEMI-PUBLIC COMPANIES WITH A MINORITY SHAREHOLDING), THROUGH A PUBLIC-INITIATIVE NETWORK OR, MORE SIMPLY, BY EXERCISING THEIR POWER TO ISSUE PERMITS TO INSTALL EQUIPMENT ON PUBLIC PROPERTY.
BY WAY OF A CONCLUSION ON THIS POINT, I THINK IT IS WORTHWHILE HIGHLIGHTING THE FACT THAT FRANCE IS NOT ALONE IN ITS SEARCH FOR A DEVELOPMENT MODEL FOR FIBRE. WORK AT THE EUROPEAN LEVEL IS NOT YET COMPLETED, BUT THE DOCUMENTS THAT THE COMMISSION HAS SUBMITTED TO PUBLIC CONSULTATION ECHO ARCEP’S APPROACH IN THAT THEY FAVOUR INFRASTRUCTURE-BASED COMPETITION WHEN VIABLE, AND ALSO RECOMMEND SHARED INVESTMENTS IN FIBRE, NOTABLY THROUGH THE INSTALLATION OF ADDITIONAL FIBRE IN THE NETWORKS.
- MOBILE
AS CONCERNS THIRD-GENERATION MOBILE SERVICES, THERE WERE 11.4 MILLION 3G CUSTOMERS IN FRANCE AS OF 1 JANVIER 2009. THIS FIGURE, WHICH REPRESENTS 20% OF THE TOTAL MOBILE CUSTOMER BASE, IS TWICE WHAT IT WAS THE PREVIOUS YEAR. THIS INCREASE HAS BEEN SPURRED BY THE INTRODUCTION OF OFFERS OF UNLIMITED ACCESS TO THE MOBILE INTERNET, VIA DEVICES RANGING FROM SMARTPHONES TO INTERNET-READY LAPTOPS, AND THIS AT SPEEDS THAT HAVE INCREASED TO EQUAL AN ENTRY-LEVEL ADSL SERVICE.
THE ARRIVAL OF A FOURTH 3G OPERATOR WILL NATURALLY STIMULATE COMPETITION IN THE MOBILE MARKET, WHICH WILL BE BENEFICIAL TO CONSUMERS – DRIVING A DROP IN PRICES FOR EQUAL SERVICE, ALONG WITH INCREASED INNOVATION IN THE SERVICES OFFERED. THE CALL FOR SUBMISSIONS COULD BE ISSUED BEFORE THE END OF JULY, WITH A VIEW TO AWARDING A LICENCE TO THE 2.1 GHZ BAND IN EARLY 2010. THE TWO OTHER REMAINING BLOCKS OF SPECTRUM IN THIS BAND ARE EXPECTED TO BE ALLOCATED IN THE FIRST SEMESTER OF NEXT YEAR – POSSIBLY THROUGH AN AUCTION PROCEDURE. THE NEXT STEP, WHOSE AIM IS TO USE THE FREQUENCIES NEEDED TO ROLL OUT 4G TECHNOLOGIES (ULTRA HIGH-SPEED MOBILE), IS IN THE PLANNING STAGE IN FRANCE, AS IT IS IN EUROPE. THIS INVOLVES THE 2.6 GHZ AND THE 800 MHZ BANDS, IN OTHER WORDS THE DIGITAL DIVIDEND CREATED BY THE SWITCH-OFF OF ANALOGUE TV BROADCASTING BY THE END OF 2011.
EUROPE HAS MADE MAJOR STRIDES IN ITS EFFORTS TO ACHIEVE HARMONISED AVAILABILITY FOR THESE FREQUENCY BANDS. IT IS NOW UP TO THE PLAYERS TO ENGAGE THE NECESSARY INDUSTRIAL DEVELOPMENTS. IN FRANCE, ARCEP CONDUCTED A PREPARATORY PUBLIC CONSULTATION FROM 5 MARCH TO 15 JUNE OF THIS YEAR, WHICH RECEIVED SOME THIRTY RESPONSES. THE ALLOCATION METHODS WILL BE ESTABLISHED IN THE COMING MONTHS. CAREFUL JOINT OVERSIGHT OF THIS STRATEGIC ISSUE BY ARCEP AND CSA, UNDER THE AEGIS OF THE PRIME MINISTER, GRAND MASTER OF THE FREQUENCY SPECTRUM, IS CRUCIAL.
B – FAIR AND BALANCED REGIONAL DEVELOPMENT
PROVIDING NATIONWIDE COVERAGE FOR MOBILE COMMUNICATION SERVICES IS A KEY REGIONAL DEVELOPMENT ISSUE. IN AUGUST, ARCEP WILL MAKE PUBLIC A DETAILED REPORT ON THE CURRENT STATUS OF MOBILE COVERAGE, DEPARTMENT BY DEPARMENT, WHICH WILL ALSO INDICATE THE OUTLOOK FOR ELIMINATING THOSE AREAS THAT DO NOT YET HAVE 2G COVERAGE FROM ALL OPERATORS, AS PROVIDED FOR BY THE LAW OF MODERNISATION OF THE ECONOMY. FOLLOWING A PUBLIC CONSULTATION, ON 9 APRIL OF THIS YEAR ARCEP ISSUED ITS FIRST DECISION ON SHARING NETWORK INSTALLATIONS. IT IS NOW UP TO MOBILE OPERATORS TO IMPLEMENT THE MECHANISMS STIPULATED IN THIS DECISION, WHICH MUST RESULT IN THE DEFINITION OF GEOGRAPHICAL ZONES, TECHNICAL TERMS AND TERMS OF GOVERNANCE, AND AN AGREEMENT BETWEEN THE OPERATORS BEFORE THE END OF THE YEAR. FINALLY, THE NEXT DEADLINE FOR ORANGE FRANCE AND SFR’S 3G ROLLOUT OBLIGATIONS IS 21 AUGUST. THIS MARKS AN IMPORTANT STAGE IN 3G DEPLOYMENTS, AND ARCEP WILL PERFORM ITS VERIFICATION WITH THE UTMOST CARE.
IN 2008, LOCAL AUTHORITIES CONFIRMED THEIR INVOLVEMENT IN THE ELECTRONIC COMMUNICATIONS SECTOR. AS INDICATED BY ARCEP IN ITS INITIAL ASSESSMENT OF THE ISSUE, WHICH IT SUBMITTED TO PARLIAMENT IN LATE 2008, LOCAL AUTHORITY INVOLVEMENT CAN HAVE A SIGNIFICANT IMPACT ON FURTHERING NATIONWIDE COVERAGE FOR COMPETITIVE AND INNOVATIVE SERVICES, PROVIDED IT ACTS AS A LEVER FOR PRIVATE INVESTMENT.
- THE WORK PERFORMED IN 2008 BY THE PUBLIC-INITIATIVE NETWORKS COMMITTEE, THE SO-CALLED CRIP, HELPED DEEPEN UNDERSTANDING OF THE MULTIPLE FACETS OF LOCAL AUTHORITY INVOLVEMENT.
I WOULD LIKE THIS COMMITTEE, WHICH BRINGS TOGETHER ARCEP, LOCAL AUTHORITIES AND OPERATORS, TO BECOME MORE THAN EVER BEFORE A FORUM FOR EFFICIENT DIALOGUE AND TO WORK ON ALL OF THE ISSUES SURROUNDING ELECTRONIC COMMUNICATIONS, INCLUDING MOBILE NETWORKS. WE WILL ESTABLISH AN AGENDA AIMED AT ACHIEVING THIS END AT THE COMMITTEE’S NEXT MEETING IN SEPTEMBER.
LASTLY, THIS COMMITTEE MEETING – EXPANDED TO INCLUDE THE CDC (CAISSE DES DEPOTS ET CONSIGNATIONS) FOR THE OCCASION – WILL ALSO ADDRESS THE CONDITIONS FOR ACHIEVING FIBRE ROLLOUT NATIONWIDE, AND ESPECIALLY THE TERMS AND MECHANISMS FOR SHARING FIBRE NETWORKS OUTSIDE OF BUILDINGS.
C – FURTHER INCREASING THE QUALITY OF THE SERVICES PROVIDED TO CONSUMERS
LET US NOT FORGET THAT THE ULTIMATE GOAL OF REGULATION IS TO SATISFY THE NEEDS OF END USERS: OUR FELLOW CITIZENS IN THEIR PERSONAL USES, OUR BUSINESSES AND OUR ADMINISTRATIONS AND PUBLIC SERVICES.
TO ACHIEVE THIS, THE AUTHORITY MUST ENSURE THE DEVELOPMENT OF THREE FORMS OF COMPETTION:
- PRICE-BASED COMPETITION;
- COMPETITION THAT SPURS INNOVATION;
- AND, LASTLY, COMPETITION THAT GENERATES INVESTMENT.
THE AUTHORITY WILL MAINTAIN ITS DIALOGUE WITH CONSUMER ASSOCATIONS – WHOSE REPRESENTATIVES I AM VERY PLEASED TO SEE HERE TODAY – WITHIN THE CONSUMER COMMITTEE CREATED BY ARCEP IN 2008. THIS COMMITTEE PROVIDES A SPECIAL FORUM FOR DISCUSSING ALL OF THE TOPICS AFFECTED BY REGULATION WITH THESE ASSOCIATIONS.
ARCEP WILL CONTINUE ITS EFFORTS TO INCREASE TRANSPARENCY ON QUALITY OF SERVICE: THE QUALITY OF THE UNIVERSAL POSTAL SERVICE AND ELECTRONIC COMMUNICATION SERVICE OFFERS, AND THE QUALITY OF TELEPHONE AND INTERNET ACCESS SOLUTIONS, BOTH FIXED AND MOBILE.
THE AUTHORITY WILL ALSO CONTINUE ITS EFFORTS DEVOTED TO INCREASING CONSUMER INFORMATION TROUGH ITS DEDICATED WEBSITE (TELECOM-INFOCONSO.FR) WHICH WAS LAUNCHED EARLIER THIS YEAR, AND TO ENSURE THAT ALL CONSUMERS CAN SWITCH OPERATORS IF THEY WISH, AS EASILY AS POSSIBLE AND WITHOUT LOSING SERVICE DURING THE PROCESS.
THE AUTHORITY
AND, FINALLY, LESS THAN TWO MONTHS INTO MY FUNCTIONS AT THE HEAD OF ARCEP, AND FOLLOWING THE DEPARTURE OF MY COLLEAGUE AND FRIEND, JEAN-CLAUDE MALLET, WHO IS IN OUR THOUGHTS TODAY, I SHOULD LIKE TO SAY A FEW WORDS ABOUT MY PERCEPTION OF THE AUTHORITY.
WITH A STAFF OF 170 PEOPLE MADE OF ENTHUSIASTIC AND TALENTED ENGINEERS, ECONOMISTS, LAWYERS AND ADMINISTRATORS, WITH WHOM I FELT IMMEDIATELY AT EASE, PERHAPS BECAUSE THEIR PROFESSSIONS CORRESPONDED WITH THE VARIOUS FACETS OF MY TRAINING AND MY EXPERIENCE, ARCEP IS A VERY FINE ADMINISTRATION WHOSE EXPERTISE IS RECOGNISED BOTH NATIONALLY AND INTERNATIONALLY.
WITH ITS CREATIVE AND REACTIVE ADMINSTRATIVE STAFF, IT IS ONE OF THE SPEARHEADS OF THIS REGULATORY STATE WHOSE ADVENT WAS AMONG THE WISHES I EXPRESSED IN AN ARTICLE IN LES ECHOS IN FEBRUARY 2000. AT THE TIME, THIS CONCEPT WAS POLITICALLY VERY INCORRECT AS IT OPPOSED BOTH A TRADITIONAL MANAGING AND OPERATING STATE, WHICH SOME WANTED TO PRESERVE, AND THE "MINIMAL" STATE FAVOURED BY OTHERS.
ARCEP PERFORMS WELL THIS REGULATION WHICH IS AN ESSENTIAL FUNCTION OF THE STATE AS STRATEGIST AND ORGANISER, EVEN IF ADJUSTMENTS ARE NEEDED IN SOME AREAS, WHICH IS ONLY NATURAL. AS I SAID RECENTLY TO THE ARCEP MANAGEMENT STAFF, EVEN A FERRARI NEEDS A TUNE-UP FROM TIME TO TIME. THIS TUNE-UP IS UNDERWAY.
INDEPENDENT OF THE GOVERNMENT, UNDER THE SUPERVISION OF PARLIAMENT AND THE COURTS, WE MUST WORK WITH ALL PUBLIC AUTHORITIES AND WITH ALL OF THE ECONOMIC STAKEHOLDERS IN THE SECTORS THAT FALL UNDER OUR PURVIEW. LISTEN, DISCUSS, EXPLAIN : MORE THAN EVER BEFORE, THIS MUST BE OUR LEITMOTIV.
AFTER THE SOME 1,500 OPINIONS AND DECISIONS ADOPTED IN 2008, DURING THE 80 MEETINGS OF THE BOARD, TO WHICH SHOULD BE ADDED THE ROUGHLY 30 HEARINGS, THE IMPORTANCE AND INTRICACIES OF THE FASCINATING MATTERS THAT WE ARE CALLED ON TO ADDRESS, IN 2009 AND OVER THE COURSE OF THE COMING YEARS, MUST SUMMON UP THE FULL POWER OF OUR IMAGINATION TO FURTHER IMPROVE THE AUTHORITY’S PEFORMANCE AND THE QUALITY OF OUR RELATIONS WITH OUR PUBLIC AND PRIVATE SECTOR PARTNERS. I WILL SEE TO IT PERSONALLY, ALONG WITH THE ENTIRE BOARD AND THE DIRECTOR GENERAL.
I WILL ALSO ENSURE THE MAINTENANCE, WITH FIRMNESS WHEN NECESSARY, OF THE REGULATED COMPETITION MODEL – IN AN ENVIRONMENT WHICH IS INVARIABLY LIVELY BUT CAN OCCASIONALLY BECOME TURBULENT, NO DOUBT IN ORDER TO PREVENT US FROM BOREDOM AND ROUTINE.