WEEKLY INFORMATION TECHNOLOGY AND ECONOMY NEWSPAPER
Decision that supports infrastructure sharing! Due to the population density and strategic location, İstanbul is one of the most needed centers for fiber internet infrastructure. In İstanbul, high speed internet is provided with fiber optic cable infrastructure at the metro, metrobus and funicular routes. However, İstanbul Electronic Communication and Infrastructure Services –İsttelkom-, which was established by İstanbul Metropolitan Municipality, has received infrastructure license from BTK in 2013 and has been installing fiber infrastructure in İstanbul since 2016. It is stated that the terms of the contract offered by İsttelkom to the operators who want to establish their own infrastructures are forcing the operators and monopolizing the fiber infrastructure. Whenever the infrastructure operators in the sector apply to İBB in order to obtain the excavation permission required to set up their fiber infrastructures, they are directed to İsttelkom since the permission is never granted. It is stated that this situation caused İsttelkom to act as a ‘telecommunication operator’ and cause it to compete with the operators whose main job is to provide electronic communication services. The challenging contractual conditions that the operators face when they go to İsttelkom also prevent the competition in the sector. Provisions stipulating that the infrastructure under which the operator of the signed contract is incurred by the
cost of installation is owned by İsttelkom and the operator cannot make this infrastructure available to other individuals and organizations leaves operators who want to invest in fiber infrastructure in a tough position. Under this circumstances, Turkish Competitive Telco Operators’ Association (TELKODER) claimed that in 2017, İsttelkom violated the Law 4054 by complicating the activities of its rivals because of the ‘Facility Sharing Protocol’ and filed a complaint against İsttelkom. Upon the complaint of TELKODER, as a result of the negotiations made by the Competition Authority, it was unanimously accepted that İsttelkom was dominant in the installation of electronic communication infrastructure in İstanbul and it was decided to impose administrative fines on the basis of 2018 revenues due to the abuse of the dominant position of İsttelkom. In addition to this decision, it was decided to remove the agreement articles that would ensuring İsttelkom to have the ownership of the infrastructure that the operators incurred on the cost and would prevent the use of this infrastructure by other operators. TELKODER Chairman of the Board Yusuf Ata Arıak made a comment on the subject as: “The decision taken by the Competition Authority is promising for the telecommunication sector. The Competition Authority ruled that İsttelkom was in a dominant position in the
infrastructure installation market in İstanbul and abused this position.” “We hope that the decision will encourage infrastructure sharing and installation” Through this decision, as well as administrative fines, the removal of the application of the two articles will have significant results. Arıak continued as: “Within the framework of the abolition of the Protocol articles, the İBB administration or any municipal administration will not be able to establish property on the infrastructure and will not be able to generate revenue through the infrastructure. The right of ownership of the infrastructure established by the concession and licensing provisions, and the right to use, lease or transfer the infrastructure in whole or in part to other operators; will pave the way for infrastructure sharing. We hope that this decision will encourage infrastructure sharing and installation. As TELKODER, we interviewed mayor candidates in the local election process to build our cities with fiber infrastructure networks and received valuable remarks for the development of fiber infrastructure. This decision is a valuable part of our belief that Turkey could make a breakthrough in fiber infrastructure and our work in this context.” Consumers will suffer from the rise in wholesale Internet fees Wholesale pricing offered to
operators by Türk Telekom plays a critical role for alternative operators in the fixed broadband market. Arıak, who emphasized that “The most important factor that enables alternative operators to create their own packages and provide services suitable for the needs of consumers, is the wholesale prices.”, stated that Türk Telekom announced that it will increase the wholesale prices (new port transmission tariffs) for the operators at the end of 2018. Arıak emphasized that these new tariffs proposed by Türk Telekom are very high and that the consumers will pay the price, and emphasized that BTK should not approve these tariffs in order not to cause both alternative operators and citizens pay the price. Our data should be protected and stored in our country Yusuf Ata Arıak underlined that the use of data for all kinds of work in our lives has become a necessity. He reminded that most of our country’s data is stored abroad and that this means leaving all kinds of information about the state and the companies to the mercy of others. Therefore, reminding that the local data centers should be supported, Arıak emphasized that our data should be protected and kept in our country. Arıak stated that this issue is frequently mentioned by public institutions, private organizations and operators and said “We have a solution and we are ready to help.” and he pointed out that concrete steps should be taken.