Gibfibre Replies To Government
05 November 2024
Gibfibre has replied to the Government of Gibraltar’s recent statement regarding amendments to the Communications Act 2006, passed on 24 October 2024.
A statement continued: “As the public is aware, these amendments prevent the issuance of radiocommunications licenses for mobile public telephone networks, creating a monopoly that exclusively benefits Gibtelecom, the only current mobile network operator in Gibraltar. In Gibfibre’s view, the Government’s decision to expedite this legislation under Section 35(3) of the Constitution obstructs fair competition in the telecommunications sector.
“Gibfibre responds as follows.
- Gibfibre is a fully independent, self-funded enterprise that has invested millions into developing an innovative telecommunications alternative for Gibraltar, without any reliance on taxpayer support. It is therefore deeply disappointing that the Government has obstructed Gibfibre’s mobile service launch, apparently to shield Gibtelecom from open competition.
- The Government’s recent press release self-servingly downplays Gibfibre’s significant economic contributions. Gibfibre directly employs a significant and sizeable workforce, all of whom contribute to Gibraltar’s economy – numbers that would have increased if not for the Government’s legislative actions, which have effectively blocked Gibfibre from securing the radiotelecommunications license essential to launching its mobile service.
- Since 2013, Gibfibre has played an important role in Gibraltar’s technological advancement in the internet broadband sector, notably through its fibre-to-the-home broadband services, which have created local jobs and driven market innovation in this sector. This has been accomplished with exceptional efficiency, unmatched in the local market, using exclusively in-house expertise and without any dependence on external subcontractors – foreign or local.
- Gibfibre’s commitment to introducing cutting-edge technology and modernising telecommunications in Gibraltar is evident in its successes in the broadband sector, where it has introduced competitive pricing and high-speed fibre, replacing outdated copper infrastructure. As a result, internet broadband speeds have increased significantly, while prices have simultaneously decreased. It is unfortunate that, therefore, the Government has acted to prevent similar advancements in mobile telecommunications, limiting consumer choice and blocking fair competition.
- Gibfibre notes that the Government’s statement fails to properly address Gibfibre’s concerns as to the reasons behind its decision to proceed with the amendments to the Communications Act at such speed, and to forego the six-week review period. Gibfibre remains firmly of the view that the Government has pushed this legislation through with manufactured urgency aimed at undermining Gibfibre’s proposed mobile network which it was fully aware of. Furthermore, Gibfibre notes the Opposition’s concerns regarding potential conflicts of interest, given that two Government ministers currently sit on Gibtelecom’s board, and the Chief Minister himself formerly served as Chairman.
- The Government’s actions in stifling competition represent a concerning overreach that, in Gibfibre’s view, should alarm anyone in Gibraltar who values a fair and competitive market where businesses can succeed or fail on their own merits. The new legislation threatens the integrity of Gibraltar’s business environment, potentially opening the door to monopolistic practices in the telecommunications sector or any other sector.
- Gibfibre urges the Government to uphold its duty to foster a competitive market in Gibraltar and invites the Government to engage in a constructive dialogue aimed at creating a fair, diverse, and innovative telecommunications landscape that benefits consumers.”
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