TIM and Fastweb Near Mobile Network-Sharing Deal to Cut 5G Costs in Italy

Telecom Italia (TIM) and Swisscom’s Italian unit Fastweb are close to finalising a mobile network-sharing agreement aimed at reducing the cost of upgrading and operating 5G infrastructure across Italy.

High speed Internet user satisfaction
High speed Internet user satisfaction

The deal, internally codenamed Prism, focuses on active network components such as antennas, base stations, radio units and backhaul, and targets towns with fewer than 35,000 residents. By collaborating, both operators aim to accelerate the rollout of standalone 5G while avoiding duplicated investments in a market under pressure from intense price competition, Reuters news report said.

The agreement between Telecom Italia and Fastweb could allow each company to save between 250 million and 300 million euros over a 10-year period. The plan is expected to include spectrum sharing and involve a joint venture structure, with no immediate sharing of assets or supplier contracts.

Telecom Italia and Fastweb would remain responsible for upgrading technology in designated areas, managing costs across a shared grid of about 15,500 sites by the end of 2028. The parties are aiming to finalise the deal by early March.

The potential partnership comes as Italy’s telecom sector continues to face financial strain, with industry revenues down nearly a third since 2010 and post-investment cash flow falling sharply.

Fastweb recently became Italy’s largest mobile operator following its acquisition of Vodafone Italia, while the proposed deal with TIM would revive a previously unimplemented network-sharing plan involving Vodafone. Analysts note that Italy’s ultra-low mobile prices continue to limit returns, reinforcing the push for deeper infrastructure cooperation.

BABURAJAN KIZHAKEDATH

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