Households to pay €200 million less for internet access as KPN cuts fees
The promise of KPN and Glaspoort to lower the rates for other parties that want to offer internet services via their fiber optic network will save households up to 200 million euros, according to the Netherlands Authority for Consumers and Markets (ACM).
KPN and Glaspoort, a joint venture between KPN and pension investor APG that mainly builds fiber optic connections in rural areas, promised to lower the rates at the beginning of April. They further suggested rates will decrease by 10 to 30 percent for the next eight years.
In 2020, ACM started an investigation into whether regulation of fixed networks in the Netherlands is necessary. The watchdog concluded that KPN and Glaspoort may face competition problems. Both KPN and Glaspoort then came up with proposals for lower rates. Other conditions are also being improved for internet providers without their own fiber optic network.
According to ACM, the commitments could have a significant effect on the market for fixed internet access. This leads to more competition on price and speed, making it more attractive for households to opt for faster internet.
Reporting by ANP.