DIGI warns of potential exit from Portugal over spectrum disputes

DIGI executive director Valentin Popoviciu has stated that leaving the Portuguese market is a possible scenario if the company cannot secure the conditions necessary to compete in the telecommunications sector.

The dispute centers on the renewal of mobile frequency licenses currently held by MEO, NOS, and Vodafone. The regulator, ANACOM, has proposed renewing these rights with terms that could extend until 2042. DIGI argues that renewing these licenses without a new competitive auction process limits its ability to acquire additional spectrum, which is essential for network coverage and capacity.

To address these asymmetries, DIGI has proposed several remedies to ANACOM, including conducting auctions with spectrum limits and implementing spectrum-sharing conditions for incumbent operators. A study by Lisbon Economics, submitted during a public consultation, suggests that ANACOM’s current proposal could effectively “freeze” the market until the 2040s. While no final decision to exit has been made, the company maintains that the current regulatory direction could weaken long-term competition in Portugal.