Abstract: Specialized investment in telecoms is needed to meet the EU ambitious political targets for connectivity currently at risk due to a sector grappling with an unsustainable mismatch between investment needs and returns.
The importance of connectivity in today’s world is undeniable. It is the backbone of modern economies, underpinning innovation, productivity, and competitiveness. Governments and policymakers worldwide have recognized this reality, embedding ambitious fibre and 5G expansion targets into their economic growth agendas. The European Union’s recently released Competitiveness Compass, which builds on the Letta and Draghi reports, explicitly highlights that closing the innovation gap will require robust investment in state-of-the-art digital infrastructure, including fibre networks, wireless and satellite solutions, 6G research, and cloud computing capabilities.
Yet Europe remains far behind its own 2030 Digital Decade infrastructure targets. The European Commission has identified a staggering €200 billion investment gap, underscoring the urgent need for capital to bridge this divide. Instead of experiencing a golden age for telecom providers, the sector faces financial headwinds. A recent McKinsey survey of 60 telecom CEOs and executives globally confirmed that profitability is the industry’s most pressing concern. Despite connectivity’s growing political and economic importance, revenues remain stagnant while capital expenditure demands are soaring. The result? A sector caught in a perfect storm, grappling with an unsustainable mismatch between investment needs and returns.
At APWireless, we believe that collaborative investment models are key to unlocking the full potential of connectivity expansion. For over 15 years, we have specialized in investing in the passive layer of telecom infrastructure, acquiring land and rooftops hosting telecom assets, and currently have over 12,000 sites under our management. Our global portfolio serves as a simplified gateway solution for tower companies and telecom operators, driving efficiency in the ecosystem.
Beyond that, we are also facilitating changes essential for the sector’s future growth, including modernizing networks and meeting clean energy goals. As copper networks are phased out in favor of fibre, we are investing in local exchanges through sale-and-leaseback models, ensuring these facilities evolve into mini data centers for cloud edge services. We are also proactively enhancing our sites by adding batteries and solar power, supporting our tenants in achieving their clean energy goals. By injecting much-needed capital into the sector, we are strengthening its ability to innovate and scale.
The path forward demands collaboration, not resistance. Specialized investment should not be seen as a threat, but as an opportunity—a win-win for the entire telecom ecosystem. Vested interests calling for regulatory barriers against private investment are misguided and ignore the critical role investors like APWireless play in providing the resources required for Europe’s connectivity ambitions. We urge policymakers to recognize the risks of stifling a proven avenue for infrastructure funding. A harmonized implementation of the Gigabit Infrastructure Act across the EU presents a unique opportunity to maximize the benefits of collaborative investment models and ensure that Europe meets its connectivity targets.
The solution to Europe’s digital future is within reach—if we embrace investment partnerships rather than resist them. The time for action is now.