EU approves support to high-speed Internet roll-out in Germany

The European Union (EU) has found that Germany's plans to support the roll out of next generation access (NGA) broadband networks are in line with EU state aid rules, said the European Commission on Monday.

Germany plans to spend three billion euros (3.37 billion U.S. dollars) over the coming years, providing high-speed Internet access throughout the country, including in rural areas, according to a press release by the Commission.

The Commission assessed the project under its guidelines on state aid and concluded that the project furthers the objectives of the EU Digital Strategy without unduly distorting competition in the single market.

"This aid scheme will make faster broadband services available also in areas of Germany where private investment is lacking. At the same time, it ensures that consumers have a choice," said Margrethe Vestager, the EU Commissioner in charge of competition policy.

"It also shows that EU state aid rules enable member states to work with the Commission to stimulate investment in infrastructure to create a true Digital Single Market," she added.

Aid would be granted for projects that engage in significant investment in networks with substantial improvement in service levels, said the Commission.

It is expected to establish networks that are capable of delivering download speeds of at least 30 megabits per second and in most cases 50 megabits per second to households and businesses, Germany said in its notification to the EU. Endit