May 22, 2008

KPN and Reggefiber partner for FTTH

KPN and Reggefiber have signed an agreement through which KPN will acquire a minority interest in Reggefiber’s FttH activities.

Reggefiber was founded in 2005 and specializes in the construction and operation of fiber access networks. Since 2005, Reggefiber has developed several local fiber initiatives, amongst others in the Dutch cities Deventer, Nuenen and Hillegom.

Since the end of 2005, KPN is implementing its All-IP strategy. Part of the implementation is the recently started rollout of Fiber-to-the-Curb (FttC) and Fiber-to-the-Home (FttH).

KPN and Reggefiber have agreed to bundle their respective FttH activities in a partnership named Reggefiber FttH.

Ahead of this partnership, KPN and Reggefiber recently started a joint FttH initiative in Almere, rolling out fiber for 70,000 households. The activities in Almere will be included in the partnership.

KPN will take a minority stake of 41% in Reggefiber FttH, while Reggefiber wild hold 59%. Reggefiber’s other activities (amongst others Eurofiber, an operator in the business market) are not included in the partnership. KPN has the possibility to increase its share in Reggefiber FttH at a later stage, if Reggefiber FttH reaches specific milestones.

FttH provides households with direct access to fiber, allowing the provision of bandwidths of over 100 Mb/s and new services in telephony, broadband and television. In line with both parties’ operating principles, the networks operated by Reggefiber FttH will be opened up for service providers other than KPN.

The proposed cooperation between KPN and Reggefiber is subject to approval from competition authorities.

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