A4-0027/98

Resolution on the communication from the Commission on the further development of mobile and wireless communications: challenges and choices for the European Union and on the communication from the Commission 'Strategy and policy orientations with regard to further development of mobile and wireless communications (UMTS)' (COM(97)0217 and COM(97)0513 - C4-0271/97)

The European Parliament,

- having regard to the communication from the Commission (COM(97)0217 & COM(97)0513 - C4-0271/97),

- having regard to the report of the Committee on Economic and Monetary Affairs and Industrial Policy and the opinion of the Committee on Research, Technological Development and Energy (A4-0027/98),

A. whereas the mobile telecommunications sector is developing rapidly at European and world level and the use of these communications will spread swiftly in future years,

B. whereas the GSM standard has enabled European manufacturers and operators to take a prime position on the world market in mobile telephony and enabled Europe to equip itself rapidly with extensive and high-quality coverage,

C. whereas the increased use of multimedia telecommunications expected in future years will require increased transmission and performance capacities which will require new third-generation radio transmission technologies, currently being studied by the International Telecommunications Union (ITU) as part of the IMT-2000 project and, in greater detail, by the ETSI and the UMTS Forum under the name UMTS,

D. whereas it is vital that these technologies be implemented in line with a standard which will ensure compatibility between the systems of all constructors and operators active on Union territory, as well as compatibility between terminal equipment and between the latter and GSM networks, together with interoperability with the multimedia services accessible via all available networks, whether terrestrial or satellite,

E. having regard to the global nature of the market for UMTS equipment and services and the need for the technology selected for UMTS to be as efficient as possible in terms of quality, investment and implementation costs, and use of the spectrum, so as to ensure not only that it is used in the Union but also to make it competitive and attractive on external markets,

F. whereas the sectors concerned hold the view that the public authorities must take urgent measures to facilitate the development of the third-generation technologies referred to above, particularly as regards the licensing and frequency allocation processes, since the sectors concerned believe it is vital to ensure a degree of certainty as to project continuity so as to persuade industry to pursue its investments without reservation and boost public confidence in the advantages of the UMTS system,

G. whereas, while these measures are in progress, no changes in current licensing rules for UMTS are needed, since they are sufficient and fully applicable; whereas, however, the conditions under which this framework applies to UMTS need to be clarified; whereas it will be necessary to secure open and internationally competitive standardization in particular with regard to air interfaces, so as to ensure full pan-European interoperability, a vital task which should be undertaken by the ETSI, serving as a focal point for cooperation by all sides, with firm backing from EU institutions and Member States,

1. Welcomes the Commission communication, since the future development of mobile and wireless communications is the cornerstone of the construction of an information society geared to all citizens;

2. Believes that the competitiveness of European industry on world markets can be promoted by creating the right conditions for the establishment of dynamic domestic markets in Europe in the early years of UMTS;

3. Stresses the prime importance of creating a stable operating environment which permits fair competition, given the present situation in which industry has already moved on from the research stage to the early stages of new product manufacture; the Member States' task is to achieve consensus within Europe regarding regulation and licensing, type approval and uniform competition rules; additional regulatory measures will be needed only if agreement is not reached sufficiently quickly among the Member States concerning UMTS issues;

4. Takes the view that protectionist and defensive strategies must be prevented from gaining the upper hand; the Commission should assume a stronger role in encouraging and supporting development; standardization work with regard to UMTS and the ample and early release of frequencies are key issues, and cooperation should be encouraged in this regard between operators, manufacturers, legislators and those responsible for regulation of frequencies; a sufficient number of countries must agree to common ground- rules in order for UMTS to be a success;

5. Considers that it is necessary at this juncture to give a clear signal of political commitment to the development of UMTS and expects European industry, through the ETSI, to come up with one single standard, as a condition for timely available frequency spectrum;

6. Considers it vitally important that, in developing these communication systems, the overall integration of services and systems (fixed, mobile, satellite, IT) should be promoted;

7. Considers that, although the additional possibilities offered by UMTS are extensive, including teleshopping, telebanking or teleworking, special consideration should be given to ways of helping the elderly and disabled;

8. Stresses that it is urgent to identify future needs accurately so that the relevant provisions can be made for standardization and frequency allocation;

9. Considers that, since the ETSI has already stated that UMTS should provide personalised globally accessible high-quality services able to integrate fixed and mobile services with use of a single terminal, these objectives should be pursued in a coordinated manner by industry and by the European Community and its Member States, which are responsible for establishing a suitable framework;

10. Supports the position that a European approach should be taken to regulation, standardization, frequency allocation, R& D, international cooperation and provision of universal service;

11. Believes that it is essential to take the measures necessary to avoid competition between technically incompatible standards, since parallel systems of this kind could result in proprietary standards, which would have the major drawback of locking an operator to one particular manufacturer for many years; although at global level interoperability can be based on various regional air-interfaces, at European level failure to base the system on a single common and open interface would be harmful as it would affect not only the user but also the competitiveness of UMTS standardization as a whole;

12. Supports therefore the efforts being undertaken by the ETSI to establish a common and competitive industrial standard for UMTS in Europe as an input to the IMT-2000 standardisation process currently being undertaken at world level and, although it may be technically feasible, considers that the idea of basing the system on multimodal terminals, with interoperability and roaming provided via multiple air-interfaces, should be avoided, since it would involve a danger both of market fragmentation and higher costs;

13. Considers that, on the question of who is responsible for the administration of UMTS frequencies, it seems reasonable to go along with the view that the desirable spectrum should be determined within the framework of the CEPT, with implementation being binding within the Community through appropriate Community legislation, since otherwise there would be a danger of failing to produce properly implemented results or of substantial delays in subsequent licensing processes;

14. Stresses the importance of ensuring an efficient use of frequencies and allocation thereof, since these are a scarce resource; while recognizing that Member States may legitimately be in favour of placing a market valuation on the spectrum through auctions or otherwise, but considers that, in determining this value, not only financial offers but also other criteria relating to the general public interest should be set and assessed; underlines that there should be neither an automatic granting of licences to, nor an a priori exclusion of GSM/DCS operators;

15. Notes the concern expressed over the problems of fair competition which may arise in Europe between roaming through the consolidation and extension of GSM networks and roaming as planned under the UMTS systems; these issues will have to be settled through specific agreements based on the competition rules laid down in the EC Treaty;

16. Instructs its President to forward this resolution to the Council, the Commission and the ETSI.