PPC is stepping up to the challenge in the telecommunications market. According to sources from newmoney, it plans to launch a consumer product for fiber optic before the end of the year at highly competitive prices, aiming to aggressively enter the market and gain market share.

This decision effectively adapts PPC’s business model to include telecommunications, specifically targeting the domestic high-speed broadband market, which is becoming a new area of intense competition among existing providers (Cosmote, NOVA, Vodafone, Inalan), who are investing hundreds of millions of euros.

Initially, PPC aimed to establish itself, through its subsidiary FiberGrid, as a telecommunications service provider in the wholesale market, following the model of similar energy companies abroad.

However, based on the same information, PPC has decided to enter the retail market for optical fiber products, offering speeds up to 2.5 Gbps in areas where the FiberGrid network is present or expanding. This is expected to be implemented, as mentioned, before the end of the year, between November and December, according to the sources.

The expansion plan

This decision, fully justified according to market experts, stems from significant investments PPC is making to enter the telecommunications market, amounting to approximately €680 million for the period 2024-2026.

As reported by newmoney, through FiberGrid, DEI aims to develop a nationwide FTTH (Fiber-to-the-Home) network, initially reaching 500,000 households and businesses by the end of 2024 and 1.7 million by 2025. Fiber optic cables have already been laid in many municipalities in Athens and Thessaloniki, with projects underway in new areas, and the network will expand to Patras, Heraklion, Volos, Kalamata, Larissa, Ioannina, Corinth, Trikala, Kozani, Veria, and Megalopoli.

These areas were selected based on population coverage and the lack of existing FTTH infrastructure. Overall, PPC Group aims to provide fiber optic coverage to 3 million households and businesses nationwide within the next five years.

PPC’s intention to directly compete with existing providers in the lucrative optical fiber market through retail products does not alter its plan to distribute FiberGrid services wholesale. It is noteworthy that PPC has already invited OTE, NOVA, Vodafone, and Inalan to pilot the optical fiber network being constructed by FiberGrid.

The wholesale distribution plan entails a dual model: either through bitstream wholesale services with speeds up to 10 Gbps, or by offering dark fiber services, allowing each provider to offer desired services directly to end customers.

The green light from the General Shareholders Meeting

In parallel, at the scheduled PPC General Shareholders Meeting tomorrow, discussions are expected to approve the separation of PPC’s wholesale telecommunications division and its incorporation into its wholly-owned subsidiary, FiberGrid. This marks the final stage before the company formally begins its independent operations.

The transfer of assets, stocks, contracts, obligations, etc., of the telecommunications activities to PPC’s wholesale market through the division separation and absorption by FiberGrid has already been completed. The transformation process, following the decision of PPC’s Board of Directors on April 10, 2024, has been finalized.