Proposal for a COUNCIL DECISION on a series of guidelines for the development of ISDN as trans-European network
Date: 1993-09-01
Institutions: European Commission
Subjects: communications policy, freedom to provide services, interactive network, telecommunications, third country, trans-European network

COMMISSION OF  THE EUROPEAN  COMMUNITIES 

C0MC93) 347 final 

Brussels, 01 September  1993 

COMMUNICATION FROM THE COMMISSION 

related to the development of the 

Integrated Services Digital Network (ISDN) 

as a trans-European Network 

*************************************** 

Proposal for a 

COUNCIL DECISION 

on a series of guidelines for the development of ISDN as trans-European network 

**************************************** 

Proposal for a 

COUNCIL DECISION 

adopting a multi-annual Community action 
concerning the development of 
ISDN as a trans-European network 

(presented  by  the  Commission) 

-A 

- 2-

Contents of the draft Communication 

Summary 

1 

2 

2.1 

2.2 

2.3 

2.4 

ISDN as  trans-European  network  : the  reasons  for  a new phase of community 
action 

Series of guidelines for ISDN 

Objectives 

Priorities 

Broad lines of measures 

Projects of common interest 

2.4.1 

Projects related to Line 1) 

2.4.2 

Projects related to Line 2) 

2.4.3 

Projects related to Line 3) 

2.4.4 

Projects related to Line 4) 

3 

3.1 

3.2 

The contribution of the Community: the Multi-Annual Action TEN-ISDN 

Introduction 

Support for the projects of common interest 

3.2.1 

The Feasibility Studies 

3.2.2 

Financial incentives for the execution of the projects of common interest 

3.2.3 

Importance  of  two  of  the  projects  of  common  interest:  telematic  platform  and 
Eurolabel 

3.3 

3.4 

4 

4.1 

4.2 

4.3 

5 

6 

7 

Measures in support of interconnectivity and interoperability 

Financial aspects 

The Coordination of national policies 

General aspects 

The Committee TEN-ISDN 

The EURO-ISDN coordination platform 

Cooperation with third countries 

The reasons of the Community intervention in the field of the ISDN 

Conclusions 

-3 

Table of annexes 

Annex A: 

Overview on the ISDN concept 

Annex B: 

Scope of EURO-ISDN 

Annex C: 

Summary table on EURO-ISDI^ availability 

Annex D: 

% territorial coverage of Euro-ISDN 

Annex E: 

Matrix on Euro-ISDN interconnections 

SUMMARY 

- 4-

The  purpose  of  this  communication  is  to  propose  a  set  of  measures  concerning  the 
development of ISDN as a trans-European network  (TEN-ISDN)  in order to support the 
availability of an advanced telecommunications infrastructure, so that all participants of the 
internal  market,  and notably  the  many  small and  medium  sized  enterprises  have better 
chances to exploit the benefits of the market without internal frontiers 

Such an advanced infrastructure,  once in place, will thus contribute to the functioning of 
the internal market and to the re-inforcement of the competitiveness of Europe. 

ISDN, is  a general, multi-purpose network  integrating  a large variety  of voice,  data and 
image  services  via  a  single  network  access.  Given  that  ISDN  is  evolving  out  of  todays 
telephone network, it has a natural vocation as European-wide network. 

Since  1984, ISDN is a key subject of the Community's telecommunications policy, the gist 
of which is to arrive at harmonised introduction of ISDN in all Member States. 

Several Council measures have focussed on the coordinated  introduction of ISDN and in 
June  1992,  the  Council  has  underlined  the  importance  to  develop  ISDN  as  a  trans-
European network. 

Based on the provisions of the Treaty and on the preceding Council measures referred to 
above,  the  Commission  is  proposing  a  framework  for  a  Community-action  with  the 
following elements: 

First,  the  adoption  of  a  series  of  guidelines  for  the  development  of  ISDN  as  a  trans-
European  network  covering  the  objectives,  priorities,  broad  line  of  measures  and  the 
projects of common interest. 

the  adoption  of  a  multi-annual  Community-action  concerning 

Secondly, 
the 
implementation  of  the  projects  of  common  interest  and  measures  in  support  of 
interoperability.  This  Community-action  will  include  mainly  feasibility  studies  and 
implementation  support in the form  of  interest  rate subsidies and loan guarantees. Only 
measures where the defined  objective cannot be attained by an action at the level of the 
Member States are covered. 

Thirdly, the setting up of a high-level coordination group assisting the  Commission in the 
execution of the multi-annual action. 

Finally,  with  a view  to  the  global  nature  of  ISDN,  the  Commission  proposes  to  begin 
exploratory discussions with non-EC countries, the EFTA in particular, to assess how far 
projects of common interest can be extended to those countries. 

This communication is accompanied by two proposals for Council Decisions, one on the 
overall guidelines, the other on the multi-annual Community-action. 

1. 

ISDN AS TRANS-EUROPEAN NETWORK : 

THE REASONS FOR A NEW PHASE OF COMMUNITY ACTION 

1. 

One of  the goals of  the  Community's telecommunications  policy is to promote a 
telecommunications infrastructure based on interconnected networks integrating a 
number of harmonised services covering the whole of Europe. 

A  recurring feature of the development  of networks in European countries in the 
past  has been  the  creation  of  independent  infrastructures  developed  at  national 
leveL This has militated against the introduction of harmonised services throughout 
Europe and has generated a series of technically incompatible systems. 

2. 

It is clear that to continue such a policy would be at odds with the aims of the single 
market 

The  completion  of  the  single  market  will  not  only lead  to  new  communications 
requirements  between  administrations1,  the  free  circulation  of  goods,  services, 
persons  and  capital  will  equally  generate  new  communications  requirements 
between the economic participants in the single market. 

It  is  widely  recognised,  that  a  tissue  of  performant  SME's2  are  of  particular 
importance  for  the  development  of  a  competitive  market.  SME's  can  often  not 
afford  dedicated  solutions like  corporate networks  or specific  applications. Thus, 
they  depend  on  an  adequate  public  service  offering.  Given  the  number  of 
approximately 10 million SME's in the Community, it is clearly of advantage, if all 
these  SME's  have 
the  same  general  switched 
telecommunications network. 

the  option 

to  access 

3. 

Since 1984, ISDN3 is a key element of the Community's telecommunications policy. 
ISDN is conceived as the natural evolution of the telephone network, based on its 
existing structure. 

ISDN,  due  to  its  advanced  technology,  developing  status  and promise  of  a wide 
range  of  voice  and  data  services,  was  seen  as  a  prime  vehicle  to  satisfy  the 
telecommunications needs of the single market. Subsequently, the Council adopted 
in December  1986 the Recommendation on the coordinated introduction of ISDN 
in  the  European  Community4,  which  proposed  a  timetable  for  a  phased 
introduction of ISDN services according to harmonised standards for interfaces and 
equipment. 

1 

2 

3 

COM(93) 69 final; Communication  from  the Commission to the European Parliament  and the Council on 
trans-European data communications networks between administrations; 

Small and medium sized enterprises; 

Integrated Services Digital Network; 

4  Council Recommendation  of 22 December  1986 on the coordinated  introduction  of the Integrated Services 

Digital Network (ISDN) in the European Community (86/659/EEC; O J. L382/36) 

ISDN  is  the  subject  of  "Annual  Progress  Reports" in  the  form  of  Commission 
Communications. These reports have led to two Council Resolutions on ISDN. In 
1989, the  Council adopted a Resolution  on the strengthening of  the coordination 
for the introduction of the ISDN in the European Community up to  1992s and in 
June  1992  a further  Resolution  which  underlines  the  importance  to  the  develop 
ISDN as a trans-European network6. 

The introduction of ISDN in the less favoured  regions received  a contribution of 
the STAR programme7. 

ISDN  is  furthermore  one  of  the  priority  areas  for  the  application  of  the  ONP8 
principles. 

With regard to ONP it is important to note that the initiatives on ISDN in ONP and 
in TEN are complementary, and in fact constitute a necessary reinforcement of two 
aspects. The first is the regulatory environment, which is designed as to enable an 
open  and  non-discriminatory  access  to  public  networks  by value-added  services 
providers for the sake of the growth of new services in a competitive market The 
second  aspect  is the promotion  of  an infrastructural  development which supports 
the functioning  of the single market through the instruments foreseen in the TEN 
framework. 

ISDN  is  a  circuit  switched  network  with  a  basic  bitrate  of  64kbit/s  which 
integrates a wide variety of services for voice, data, text and images accessible to 
the user via one single interface. In comparison to the telephone network ISDN will 
offer better quality and higher throughput. For example, the transmission of one A4 
page per facsimile over the telephone  network takes roughly one minute whereas 
with ISDN  the  same  transmission will  only  take 3-4  seconds  and provides much 
better quality (higher resolution). 

Annex A provides more details about the ISDN concept. 

The  gist  of  the  ISDN  policy  of  the  Community  since  1984 was  the  coordinated 
introduction  of ISDN in the Member States. Harmonisation  of  the  user/network 
interfaces enabling the development  of a mass terminal market and the access to 
standardised  connection  types  which  facilitate  the  provision  of  (third  party 
provided) value added services (VAS) are crucial aspects of that policy. 

ISDN  has  a vocation  as  general  switched  network  throughout  Europe  and  on a 
world-wide  basis.  Owing  to  this  nature  ISDN  is  well  suited  to  address  many 
communications requirements from the public and private domain throughout the 
Community. 

OJ C196/4 from  1.8.89; 

OJ C158/1 from 25.6.92; 

Council  Regulation  of  27.10.86,  instituting  a  Community  programme  for  the  development  of  certain  less-
favoured  regions  of  the  Community  by  improving  access  to  advanced  telecommunications  services 
(STAR programme) (86/3300/EEC; OJ L305,31.10.86) 

Open Network Provision; 92/383/EEC of 5.6.92, OJ L200 of 18.07.1992; 

4. 

5. 

5 

6 

' 

8 

- 7-

6. 

ISDN  is  a  commercial  reality  in  six  Member  States.  However,  the  current 
implementations are technically not yet harmonised to the extent required. 

Furthermore,  owing  to  a variety  of  reasons set  out  in  detail in  the  Commission 
Annual Progress Reports on ISDN in the Community, the initial timetable for the 
introduction of harmonised ISDN offerings could not be met. 

In  the  course  of  1993, ISDN,  based  on  harmonised  standards  elaborated  by 
ETSI9 will be introduced. This harmonised form of implementation is referred 
to as: EURO-ISDN. 

Therefore  the current situation of ISDN in the Community can be described as a 
situation of transition, from existing national implementations to EURO-ISDN. 

All  public  network  operators  of  the  Community  have  signed a  Memorandum  of 
Understanding  (MoU  on ISDN)  in which  they commit  themselves  to  implement 
EURO-ISDN. The full scale deployment of EURO-ISDN will extend over a number 
of years. 

It is the introduction of EURO-ISDN conformant facilities and/or upgrading of 
existing ISDN offerings to EURO-ISDN capabilities which are the subject of this 
proposal. 

Annex B provides a definition of the scope of EURO-ISDN. 

7. 

8. 

Only a general availability of this modern type of telecommunications infrastructure 
will allow to cater for the objective of economic cohesion. It is important that the 
peripheral regions will not lag behind with the implementation of EURO-ISDN in 
a way which adds further disadvantage. 

On  the  other  hand,  for  the  economic  actors  in  the  developed  regions,  the  full 
potential  of  this  basic  infrastructure  can  only  be  obtained  if  they  can  reach  all 
regions of the Community via the same network. 

Many efforts  have already been undertaken by the public network  operators and 
the Member States. However, not all aspects required for a successful Community-
wide introduction of EURO-ISDN are yet in place. Additional efforts at the level of 
the Member States and at the Community level to ensure the general  availability 
and  the  harmonised  provision  of  a  number  of  basic  services  throughout  the 
Community are necessary. 

9. 

The current transition from existing ISDN offerings  to the harmonised EURO-
ISDN  in  the  context  of  the  requirements  and  opportunities  arising  from  the 
completion of  the single market provides the opportunity to embark  on a new 
phase of the ISDN policy. 

European Telecommunications Standards Institute 

- 8-

The present Communication sets out a framework  for possible Community-action 
which  could  usefully  be  added  to  the  efforts  already  undertaken  in  the  Member 
States. It  contains  a  series  of guidelines  describing  the  objectives  and  priorities 
and  contains  proposals  for  broad  lines  of  measures  and  projects  of  common 
interest which are suitable to contribute to the achievement of the objectives and 
priorities. 

In conjunction with the present  Communication, Part II of  the present  document 
presents two proposals for Council Decisions. 

A  first  proposal for a Council Decision presents the series of guidelines (Schéma 
Directeur) for the development of ISDN as trans-European network. 

The second proposal for a Council Decision is intended to institute a multi-annual 
programme for the implementation of TEN-ISDN guidelines. 

The proposed Decisions are based on Article 235 of the Treaty of Rome. 

The latter decision is accompanied by a financial statement. 

The approach for setting up the appropriate framework for the implementation of 
the proposals is described in Sections 3 and 4. It is foreseen  to establish a multi-
annual Community TEN-ISDN action. Section 6 explains also in more detail why a 
Community action in favour of ISDN is appropriate. 

The second proposed decision foresees that the Commission will be assisted by an 
advisory Committee (c/f. Section 4.2 of the present Communication). Furthermore, 
in order to allow for a direct dialogue with the principal sector actors concerned by 
the TEN-ISDN measures, a "Coordination Platform" (c/f; Section 43 of the present 
Communication) is proposed. 

Given that ISDN is suitable to respond to many private and public needs, particular 
emphasis is attached to the objective to find  out where applications which will be 
the  subject  of  a  parallel proposal  for  trans-European  networks for  the  telematic 
networks between administrations10 (TNA-IDA), may benefit  from the availability 
of ISDN. 

Reference  is  also  made  to  the  next  generation  of  switched  networks,  Integrated 
Broadband  Communications  (IBC),  which  technological  development  was  and 
continues  to  be  the  subject  of  Community  RDT-action  in  the  context  of  the 
programme  RACE. It is the intention  to prepare also for IBC a proposal  in  the 
context of the trans-European networks. 

Close coordination with these other proposals for trans-European networks in the 
sector of telecommunications (TNA-IDA, TEN-IBC) will be ensured. It is expected 
that synergy effects  notably in the area of harmonisation of protocol architectures 
for telematic services can be achieved. 

10  COM(93) 69 final; Communication  from the Commission to  the European Parliament  and the Council  on 

trans-European data communications networks between administrations; 

- 9-

The implementation of the measures presented in this proposal to develop ISDN as 
a  trans-European  network  will  have  to  take  into  account  the  evolution  of  the 
regulatory regime. As  foreseen  in  the first  two  Community measures adopted  in 
1990"  concerning  the  open  access  to  public  networks  and  the  competition  in 
telecommunications  services,  the Commission  undertook  in  1992 a review  of  the 
situation  of  telecommunications  services  in  the  Community.  After  thorough 
discussions  of  the  Commission  document  and  in  particular  its  proposals,  the 
Commission  has  adopted  a  Communication  to  the  Council  and  the  European 
Parliament12  on 28.04.1993  proposing  a  series  of  steps  to  be  taken  in  a phased 
approach up to the year  1998 concerning the regulatory evolution in the fields  of 
telecommunications services and the provision of infrastructure. 

Regulatory  changes in the  course  of  the said  evolution which would concern  the 
development of ISDN as presented in this Communication will be fully taken into 
account. To this end, a revision clause is foreseen in Article 8 of the first of the two 
proposed Decisions. 

10. 

The present proposals have also to be seen in the context of the perspectives of the 
Communication  COM(92)  2000  and  COM(92)  200113  and  in  particular  in  the 
context  of  the  Communication  of  the  Commission  to  the  Council  on  trans-
European networks14. 

The Council in its Resolution from 7 December 1992 regarding the means to ensure 
the good functioning of the internal market13 has stressed the urgency to reinforce 
the  telematics  and  other  communications  networks.  Hie  present  proposal  to 
develop ISDN as a trans-European network responds to this requirement. 

Owing to its infrastructural  nature, ISDN is also considered in the context of  the 
growth initiative decided at the Edinburgh Council First discussions with the EIB 
for  inclusion  of  ISDN  projects  in  the  temporary  lending  instruments  have  been 
held. Following the decision on the Delors II package, also the possibility for co-
financing with other Community instruments, notably with the structural funds are 
being explored. 

11  OJ  No.  L  192  from  24.07.90;  Council  Directive  on  the  establishment  of  the  internal  market  for 
telecommunications  services  through  the  implementation  of  open  network  provision  (90/387/EEC)  and 
Commission Directive on competition in the markets for telecommunications services (90/388/EEC); 

12  COM(93) 159/2 from 28.04.1993 

13  COM(92) 2000 and 2001 from 12 February 1992 

14  COM(90) 585 final, 10.12.1990 

15  OJ C334 from 18.12.92, p. 1-3 

- 1 0-

SERIES OF GUIDELINES FOR ISDN 

11. 

Following  the  adoption  of  the  Council  Resolution  of  5  June  1992,  a  series  of 
guidelines covering the objectives, priorities, broad  lines of measures and  projects 
of  common  interest  for  the  definition  and  implementation  of  ISDN  as  a  trans-
European network were prepared. 

The graph on the next page provides an overview on this series of guidelines. 

From  the  outset  a  close cooperation  of the  sector  actors was  established  for  the 
elaboration  of  these  guidelines.  A  Working  Group  (WG  TEN-ISDN)  with 
participation  of the Public Network  Operators  and the authorities of the  Member 
States  discussed  these  guidelines.  A  framework  for  the  envisaged  Community-
action was defined. 

12. 

13. 

Proposals will be  made  how best  to  support  the  introduction  of EURO-ISDN  so 
that it meets the requirements of all the participants in the single market 

The  main  goal  is  the  harmonised  and  rapid  introduction  of  EURO-ISDN.  The 
points  of  departure  are  the  current  ISDN  commercial  offerings  which  differ  in 
various  regards  and  the  existing  roll-out  plans  for  EURO-ISDN  of  the  public 
network operators. 

"Bottle-necks" In the plans for  the deployment of the EURO-ISDN  infrastructure, 
the  range  of  services  and  various  other  aspects  will  be  determined.  For  the 
infrastructure,  a  basic  target  date  against  which  the  plans  will be  evaluated  is 
proposed  (refer  to paragraph  28). It  is also proposed  to include in the  framework 
private ISDN networking, fully conformant to the relevant harmonised standards. 

A  framework  of  measures  to  remedy  those  "bottle-necks" will be  identified.  The 
economic viability  and  the  common  interest  of any project  are  key requirements. 
Interoperability  and  interconnectivity  are  the  guiding  technical principles  for  the 
proposals. 

14. 

Considerable emphasis is attached in the proposal to the availability of a number of 
compatible  basic  services  (a  platform  of  services)  throughout  the  Community. 
Measures in support of interoperability of services offered  over ISDN or accessible 
via ISDN are included. 

Also, a basic target  date for  the start  of the practical availability of such a services 
platform is proposed here. 

2.1 

15. 

OBJECTIVES 

The exploitation of the full potential of ISDN requires harmonised  implementation 
throughout 
the 
development of ISDN as a truly general switched trans-European network. 

the  Community.  Two  objectives  can  thus  be  defined  for 

OVERVIEW  OF  TEN' 

OBJECTIVE  01 
Availability of 
EURO-ISDN  conformant 
facilities  Including  a 
basic  set  of  harmonised 
services. 

OBJECTIVE  02 
Full Geographical 
coverage  of  EURO-ISDN 
offerings In all Member 
States. 

PRIORITY  P1 
Rapid  availability of 
EURO-ISDN  offerings 
for  allbuslne'ss  users, In 
particular  SMEs. 

I 

PRIORITY  P2 
Maximisation  of  the 
usage  of  EURO-ISON 
In  the  Community. 

PRIORITY  P3 
Facilitation  of  access 
of  the  peripheral 
regions  by  means  of 
EURO-ISDN. 

MEASURES  U 
Elimination  of 

bottle-necks 

In  the 

roll  out  of 
EURO-ISDN. 

MEASURES  L2 
Ensurance  of 
end-to-end 
Interoperability  of 
telematic  services. 

MEASURES  13 
Migration  of  public 
and  private  sector 
applications  to 
EURO-ISDN. 

MEASURES  14 
Promotion  of 
EURO-ISON  terminal 
a v a l l a l l a b i l l t y. 

O B J E C T I V ES 

P R I O R I T I ES 

BROAD  LINES  OF 
M E A S U R ES 

POJECTS  OF 
;CUMON 

INTEREST 

- 1 2-

16. 

The first objective  is  related  to  development  of  a  set  of  EURO-ISDN  offerings 
which correspond specifically to the needs arising from the single market: 

Ol 

Availability  of  EURO-ISDN  conformant  facilities,  including  a  basic  set  of 
harmonised services. 

17. 

Facilities  conformant  to  EURO-ISDN  means  the  implementation  of  harmonised 
user/  network interfaces on the basis of the relevant ETSI standards, i.e. the two 
ISDN access types basic rate access (BRA) and primary rate access (PRA). 

Harmonised services implies, that a basic set of services is available in accordance 
with the relevant European standards. 

The basic set of services will include, beside the one's which are defined in the MoU 
on the ISDN in Europe (c/f. Annex B ), those telematic services which correspond 
to  the  most  urgent  user  needs:  simple  file  transfer,  access  to  electronic  mail, 
generalised data bank access (including videotex), videophony and facsimile group 
4. 

Paragraph 32) and 33) contain further explanation of this item. 

18. 

In order to make sure that EURO-ISDN  offerings  in line with this objective are 
available  to  all potential  users throughout  the  Community,  a second  objective  is 
defined as follows: 

02  Full geographical coverage of EURO-ISDN offerings in all Member States. 

19. 

This objective includes the aspects of the coverage of EURO-ISDN  infrastructure 
in  the  Member  States  (national  connectivity)  and  international  connectivity 
between thé Member States. 

National  connectivity  means  the  full  scale  deployment  of  the  two  harmonised 
EURO-ISDN user/ network interfaces types, basic rate access (BRA) and primary 
rate access (PRA). National coverage may be achieved by means of equipping local 
switches with EURO-ISDN capabilities or by other techniques like remote accesses. 
National connectivity  also  implies  the  upgrade  of  the  national network signalling 
systems, so that they can support the full range of EURO-ISDN facilities. 

International  connectivity  implies  the  introduction  of  the  agreed  protocol  (i.e. 
ISUP16  Version  1)  in  the  international  switching  centres  (ISC)  of  the  Member 
States.  While 
international 
interconnections,  different  protocols  are  in  use  between  ISC's which  leads  to  a 
number of limitations, e.g. for service connections. Annex E provides an overview 
on the introduction plans for ISUP Version 1. 

implementations  allow 

the  current 

ISDN 

20. 

The  fulfilment  of  these  objectives  has  to  take  account  of  the  already  existing 
national ISDN offerings and the existing plans to introduce EURO-ISDN. 

16 

ISDN iJser £art; an interexchange signalling system defined in the context of ISDN 

22 

21. 

13 

PRIORITIES 

The  priorities  which  are  derived  from  the  endeavour  to  develop  EURO-ISDN 
rapidly as a trans-European  infrastructure  and from  the objectives defined  above 
take account of the date of the completion  of  the single market and the expected 
development of communication requirements in the Community. 

As  stated  in  paragraph  6,  all  public  network  operators  in  the  Community  have 
signed the MoU on the introduction of EURO-ISDN. 

The current plans of the public network operators (c/f. Annexes C and D) foresee, 
that the introduction of EURO-ISDN will commence around the middle of 1993. All 
Member States will have launched EURO-ISDN by the end of 1993. 

22. 

The  roll-out  of  EURO-ISDN  will  take  several  years.  Some  operators  have 
confirmed  targets for  a country-wide  coverage.  In others,  those plans  do  not yet 
exist and the  geographical deployment will depend on demand. 

A  strategy  for  the  marketing of  EURO-ISDN  and the  setting of  a target  date is 
required. 

23. 

All market analysis' suggest, that the early years of the ISDN roll-out will focus on 
professional  users.  The  crucial  role  of  the  SME's  for  the  economy  was  already 
underlined (c/f.  Chapter 1). 

Therefore, the first priority is defined as follows: 

PI 

Rapid availability of EURO-ISDN offerings for all business users, in particular 
SME's. 

24. 

A  second  priority  is  aimed  at  the  best  possible  usage  of  EURO-ISDN  in  the 
Community. Nowadays, many users of advanced telecommunications services make 
use  of  dedicated  networks  and  services  for  their  communications  requirements. 
With a fully fledged  EURO-ISDN it  is conceivable,  that  a good portion  of  those 
users could find an economically interesting alternative in ISDN. 

P2  Maximisation of the usage of EURO-ISDN in the Community. 

25. 

A  modern  universally  available  harmonised  multi-purpose  service  is  a  crucial 
prerequisite  for  the  general  Community  objective  of  economic  cohesion. 
Improvement of the access of the peripheral  regions is therefore  defined  as third 
priority. 

P3 

Facilitation of access of the peripheral regions by means of EURO-ISDN. 

-14-

Currently discussions betwëëhthe Member States and the Commission are held to 
revise the provisions governing the structural funds.  In view of the infrastructural 
nature of ISDN and in the light of the requirement identified by the Commission17 
that until the year 2000 up to 40BECU will be required to expand and upgrade the 
telecommunications infrastructure in the less favoured regions (LFR's), a combined 
including  the  structural  funds  in 
effort  involving  various  financial  instruments 
favour of ISDN may be justified. The initiative for support from the structural funds 
lies with the Member States. 

23 

26. 

BROAD LINES OF MEASURES 

The  present  section  describes  the  proposed  broad  lines of  measures  which  are 
devised in a way to best  accomplish the objectives and priorities discussed above. 
Given  that  the  objectives  and  priorities  are  of  general  nature,  they  apply  in 
principle to all broad lines of measures discussed below. 

A fuller understanding of these lines may be derived from the projects of common 
interest which are described for each of these lines (c/f.  Section 2.4). 

A framework for possible Community action is proposed. This framework enables a 
complementarity  between  measures  in  the  Member  States  and  an  eventual 
Community-action. 

For the implementation of these measures emphasis will be placed on addressing 
the needs of business users and the peripheral regions. 

27. 

Four broad lines of measures are proposed. 

Given the priority of making EURO-ISDN accesses and basic services available to 
business users, it is necessary to eliminate "bottle-necks" in the existing deployment 
plans. 

LI 

Elimination  of bottle-necks in the roll out of EURO-ISDN. 

Elimination of bottle-necks concerns the roll-out at the level of the Member States 
as well as the interconnection between the countries. 

With  regard  to  the  roll-out  of  EURO-ISDN  facilities  the  existing  plans  of  the 
PNO's  show  considerable  differences  for  reaching  full  coverage.  While  in  some 
countries this will be attained already by the end of  1994 or 1995, other operators, 
based on their specific situation have planned full coverage for the years 1996/97 or 
later. 

17  SEC(92) 1048 final from 21.10 1992, Page 32; 

-15-

An elimination of bottle-necks would in principle mean an acceleration of existing 
investment  plans. In each  case  this will have to  take  account  of  business  related 
arguments as well as a study of the demand in the geographical areas concerned. 

It could also mean an upgrading of existing pre-EURO-ISDN-offerings to conform 
with harmonised standards. 

28. 

Bearing in mind these considerations and in view of  the functioning  of  the single 
market, a basic target date for the general availability of EURO-ISDN facilities for 
business users by the end of 1994 is set. This target date will serve as a reference 
against which plans are evaluated and will allow to determine measures which are 
suitable to narrow the gap between countries which plan a rather rapid introduction 
and  others,  in  most  cases  more  peripheral  regions,  where  the  current  planning 
foresees full coverage for a point in time later than the target date. 

29. 

One of  the major success factors  of ISDN is the integration  of  a wide variety of 
services via two harmonised network interfaces. For many users this will do away 
with the necessity to subscribe to more than one telecommunications network. 

Discussions in the European ISDN User Forum (EIUF) have made clear, that in 
addition to telephony there is an urgent requirement for a number of compatible 
basic non-voice telematic services and applications available on a Community-wide 
basis. EURO-ISDN is designed to deliver or enable access to those services. 

In  a  previous  Communication  from  the  Commission,  on  the  trans-European 
telematics  networks  between  administrations  (TNA)  the  crucial  role  of  the 
availability of well defined telematic services for the proper functioning of the single 
market is set out in detail. 

Similarly,  for  the  professional  domain  a  basic  telematic  platform  available 
throughout the Community is required in order to enable the economic participants 
of the single market to exploit the full economies of scale and scope of that market 
without internal frontiers. 

In  order  to  allow  all  economic  actors  to  have  the  option  to  use  this  telematic 
platform, this platform is only conceivable in connection to the coming generation 
of  the  general switched  telecommunications  network, the  ISDN  and later  on  the 
IBCNiC 

Indeed,  not  only  the  private  domain  will  benefit  from  such  a  basic  telematic 
infrastructure,  many  of  the  needs  of  the  interchange  of  data  between 
administrations (as for example discussed in the TNA-IDA proposal) are of similar 
nature. Consequently  the TNA-IDA  proposal makes reference  to  this fact,  and a 
proper  coordination  between  these  two  proposals  in  order  to  make  sure  that 
synergy effects can be realised is implicit to the adopted approach. 

In order  to comply with user requirements, it  is essential  that those  services and 
applications are provided in a manner which guarantees  interoperability  between 
user  end  systems  and  to  promote  measures  with  the  objective  to  render  the 
availability of such interoperable services more visible for the end user. 

18 

Integrated Broadband Communications Network 

30. 

So far, this user requirement is only met in part 

-16-

Therefore, a second broad line of measures caters for the interoperability  of such 
services. 

The proposal takes account  of the competitive context which is applicable for the 
provision of services other than voice. 

12 

Ensure end-to-end interoperability of telematic services. 

31. 

Two major subheadings are planned for this action line: 

i) 

Creation of a common telematic platform and 

ii)  Creation of a EURO-Label for interoperable services. 

32. 

A  common  telematic  platform  can be  described  as  a  set  of  telematic  protocols 
which  are  arranged  in  an  orderly  manner  (protocol  stack)  following  a  defined 
overall architectural concept. The term telematic platform implies a consensus on 
such  a  protocol  architecture  for  the  concerned  services  (see  list  below),  where 
whenever possible certain protocol parts will be used for more than one service (eg. 
usage of the T.9019 protocol for a number of services). 

Five services for which there is particular demand are proposed to be included in 
the telematic platform: 

-  simple file transfer; 

-  electronic mail; 

-  generalised access to data bases (including videotex); 

-  videophony and 

-  facsimile group 4. 

The final objective related to this proposal is the European-wide available to users 
of this set of services accessible via ISDN. 

33. 

The accessibility from the  ISDN accesses  to such services, for  example from PC-
based ISDN terminals (eg. via PCI20) and the consideration of the impact of such a 
common protocol architecture for terminal end systems are further aspects. 

ISDN is specifically  devised to support (by the appropriate channel and signalling 
resources  which  can  depend  on  the  services  requested)  such  telematic  services, 
although it  is transparent with  regard to  the  transport  it  provides for  those  (and 
other) services. 

In contrast  to the  direct infrastructure which is in the first  place hardware based, 
services  are  typically  software  oriented.  Software  based  solutions  can  easily  be 
modified and hence this may lead to incompatibility. 

19  T.90 is a CCnT defined protocol stack for terminals for telematic services in ISDN 

20 

Programming Communication Interface; a kind of software interface used in a computer (PC) 

- 1 7-

34. 

The  gist  of  the  EURO-Label  concept  is  therefore  to  support  end-to-end 
interoperability on a basis of voluntary conformance to given specifications. 

There is a close relationship between the telematic platform  and the  EURO-Label 
proposal The range of services covered by the  two measures would be principally 
the same. 

35. 

Given that a successful  marketing of EURO-ISDN depends on the availability of a 
sufficient  set of basic services, the timely availability of such services in relation  to 
the timing of the roll-out of the infrastructure  is important. 

It  is therefore  appropriate  to  set  also for  the  availability  of  the  above  mentioned 
"telematic platform" a basic target date. 

The practical availability of the telematic platform  should be by the end of the year 
1994, starting with  some  of  the  services  (eg. simple  file  transfer,  electronic  mail) 
quoted earlier (i.e., the same date as set for the  infrastructure). 

36. 

Today,  a  lot  of  customised  applications,  in  the  private  and  public  domain  are 
supported on dedicated networks. 

the  synergy  which 

Indeed,  much  of 
the  merging  of 
telecommunications  and  information  technology,  can  be  achieved  from  bringing 
(IT-)  applications  to 
the  (general  switched)  telecommunications  (network) 
together. 

is  expected  from 

37. 

A scrutiny of where it is economically and commerically appropriate to make use of 
the EURO-ISDN as wide area network for such applications is proposed. 

13  Migration of public and private sector applications to EURO-ISDN. 

38. 

One particular  area proposed  for  the  development  of trans-European  networks in 
the field of telecommunications are the telematic networks between administrations 
(TNA). In this context, a number of applications concerning the interchange of data 
between  administrations  requiring  a  wide  area  network  support  across  the 
Community,  will  be  developed.  Migration  possibilities  of  TNA-applications  to 
EURO-ISDN will be studied under this broad line of measures. 

39. 

A  further  critical  element  for  the  successful  development  of  EURO-ISDN  is  the 
availability of suitable and attractively priced terminal equipment. 

Owing  to  its  current  differences  of  the  ISDN  access  characteristics,  the  ISDN 
terminal market is rather fragmented, based on national markets. 

Only the development of a truly  Community-wide ISDN terminal market, which is 
only feasible  with  the  introduction  of  the  harmonised  EURO-ISDN, will  allow  to 
exploit  new economies  of  scale  and  thus  contribute  to  the  competitiveness  of  the 
Community market. 

This promotion  of  EURO-ISDN  terminal  availablity will take  account  of  the  fully 
competitive nature of this terminal market. 

IA 

Promotion of EURO-ISDN terminal availability. 

40. 

2.4 

41. 

, -i8-

ISDN  is  a prime  candidate  for  the  development  of  a  Community-wide  terminal 
market. Only networks, which offer harmonised accesses, like for example EURO-
ISDN, will lead to the development of terminal equipment which can benefit from 
the  "1-Stop  TtyPe  Approval"  system  as  stipulated  in  the  Council  Directive 
91/263/EEC?1, and hence can freely circulate in the internal market without a prior 
need for  technical adaptation  or the  requirement to be  re-submitted  to  the  type 
approval procedure for each national market. 

PROJECTS OF COMMON INTEREST 

For each of the broad line of measures established above, a number of projects of 
common interest are identified below. 

Typically, a first step of a project would be the conduct of a feasibility study (FS) 
which will in particular  evaluate the  economic viability of the projects. In certain 
cases it may well be feasible, to define directly the terms of reference of a project. 

The proposed projects are in line with the objectives and priorities set out earlier. 

2.4.1  PROJECTS RELATED TO LINE 1):  "Elimination of bottle-necks in the roll out of 

EURO-ISDN 

42. 

In  relation  to  this  line  a  project  of  common  interest  which  concerns  the 
identification of bottle-necks and measures which contribute to their elimination is 
proposed. 

11 

Identification of "bottle-necks", eg. in the roll-out of EURO-ISDN and measures 
which improve the availability of EURO-ISDN facilities. 

The  identification  here  includes  all  kinds  of  bottle-necks,  as  for  example, 
infrastructure, services, terminal availability, tariffs etc. 

43. 

A  second project  relates  to  the  possibility  to  introduce  a  European-wide  packet 
mode  bearer  services  (PMBS)  which  is  required  for  many  data  applications.  At 
present, the implementation plans across Europe show a number of differences. 

12 

Analysis of  differences  in the existing plans for the introduction of the packet-
mode bearer services and  proposals  which  aim  at  the  harmonisation  of  these 
implementations, in  a manner that at  least  a  Community-wide  service can be 
offered. 

21 

c/f  OJ L128/1,23.05.91 

-19-

A  harmonised  European-wide  PMBS  is  of  crucial  importance  for  many  data-
applications, as for example POS^-transactions or PIN2* code verifications  in the 
context of credit/ cash card usage. 

44. 

A  final  project  relates  to  the  specific  requirements  of  the  SME's  in  the  single 
market. 

13 

Development  for  transborder  applications  in  particular  corresponding  to  the 
needs of SME'-s. 

In the context of this project, it is envisaged to provide incentives for the definition 
and  development  of  applications,  which  are  at  least  shared by SME's from two 
Member States. 

Examples for such applications could be in tourism, where actual offers for holidays 
are communicated "on-line" via ISDN, or applications which support'the search of 
partner  firms  in  other  countries  and  which  could  be  organised  by International 
Chambers of Commerce. 

2.4.2  PROJECTS  RELATED  TO  LINE 2):  To  ensure  end-to-end  interoperability  of 

telematic services 

45. 

Two projects of common interest  are put forward  in relation to thé broàd line of 
measures No. 2. 

The  first  project  concerns  the  development  of  the  envisaged  common  telematic 
platform. It is re-called that five services have been identified as being of particular 
market  interest:  simple  file  transfer,  electronic  mail,  generalised  access  to  data 
bases (including videotex), videophony and facsimile group 4. 

More explanation on this issue is found in paragraphs 32) and 33). 

21 

Development of a common telematic  platform with particular attention to the 
five  services listed. 

46. 

A  second  project  concerns  the  promotion  and  visibility  of  end-to-end 
interoperability of EURO-ISDN services and terminals by the usage of a common 
label. This project will imply the definition  of a concept for the EURO-Label, the 
set  up  of  arrangements  between  the  participants  and  initial  support  for  the 
establishment of a EURO-Label organisation. 

22 

Development of a voluntary EURO-LABEL. 

22 

23 

Points of Sales 

Personal Identification Number 

- 2 0-

2.43  PROJECTS  RELATED  TO  LINE 3):  "Migration  of  public  and  private  sector 

applications to EURO-ISDN" 

47. 

Related to the line 3) on the migration of other applications to EURO-ISDN three 
projects of similar nature, but for distinct areas are proposed. 

Each of  the projects will investigate  into  the feasibility  and economic viability of 
using EURO-ISDN instead of dedicated networks. 

31  Migration of existing or planned TNA applications to EURO-ISDN. 

32  Migration of other applications  (applications  developed in the context of other 
Community  measures,  eg.  health  care  networks,  network  between  scientific 
parks, dedicated networks like IXI etc.) to EURO-ISDN. 

33  Migration of public and private sector applications operated on other networks 

to EURO-ISDN. 

2.4.4  PROJECTS  RELATED  TO  LINE  4):  Promotion  of  EURO-ISDN  terminal 

availability 

48. 

Two projects related  to  the  promotion  of  EURO-ISDN  terminal  availability  are 
proposed.  They  will  focus  on  cheap  voice  related  terminals  and  on  simple  file 
transfer,  electronic  mail,  generalised  access  to  data  banks  (ind  videotex), 
videophony  and facsimile  group 4. In terms  of  their  technical  scope  the projects 
(41),  (42)  and (21)  are related,  i.e.,  again,  there is  a close link with the EURO-
Label and Telematic-platform projects. 

Terminals are in many cases the instruments  to physically implement a service. The 
end-to-end compatibility of the terminal (for some basic services) in a multi-vendor 
environment (terminals are in competition) is a key objective. 

41 

Analysis of EURO-ISDN terminal requirements in the context of market needs. 

42 

Promotion of the availability of EURO-ISDN terminals. 

49. 

Promotion  of  the availability  of  EURO-ISDN  terminals may for example include 
concertation with terminal manufactures, analysis' of the methods how to cut down 
the  cost  for  the  circuitry  required  for  the  construction  of  such  terminals  or 
definition of common promotion efforts for terminal availability. 

43 

Development of 1-Stop shopping and billing principles for EURO-ISDN. 

- 2 1-

1-Stop shopping  and billing principles  are  recommended  by the  Council 24 in the 
context of Open Network Provision. 

In  a first  step, this latter  project  may start  with  1-Stop ordering.  1-Stop ordering 
implies  that  the  request/application  for  e.g.  a  service  subscription  across  various 
networks can be made from one point. 

24  ONP-ISDN Recommendation; OJ No. L 200/10 from 18.07.92 

-22-

3. 

THE CONTRIBUTION OF THE COMMUNITY: THE MULTI-ANNUAL ACTION 
TEN-ISDN 

3.1 

50. 

INTRODUCTION 

The TEN-ISDN action aims to give a Community support for the execution of the 
projects  of  common  interest  identified  in  the  "Series  of  guidelines"  (Schéma 
Directeur), the adoption of which is proposed to the Council by means of the first 
decision  submitted  in Annex  to  this  communication.  These  projects  of  common 
interest are classified according to the four broad lines of measures defined  in the 
series of guide lines: 

Elimination of the bottle-necks in the deployment of the EURO-ISDN (action 
at the infrastructure level). 

To ensure end-to-end interoperability of telematic services. 

Migration of public and private applications towards the EURO-ISDN. 

Promotion of the availability of the EURO-ISDN terminals. 

51. 

Community support for the projects of common interest is carried out by means of 
feasibility  studies  which  can  include  a  validation  phase.  The  execution  of  the 
projects is the responsibility of the sector actors, but it can be supported, when it is 
necessary, by interest  subsidies  or loan  guarantees  granted  to  the  entities which 
carry out these projects. 

Moreover, specific  actions aiming to ensure the interconnectivity  of  the networks 
and the interoperability  of services and terminals, in particular in the field  of the 
harmonization of standards, could be led in support for the implementation  of all 
the projects of common interest. 

The interested actors by these actions are of three categories: 

-  Those  responsible  for  the implementation  of  the  infrastructure  EURO-ISDN, 

which are the public network operators. 

-  Those  likely  to  offer  trans-European  services  on  this  infrastructure,  who 

comprise the same public network operators and private service providers. 

-  Those which put on the market telecommunication  terminals, Le. the terminals 

manufacturers or importers. 

Given that differing regulatory regimes apply to these different actors, the methods 
and procedures applied for  the Community projects will depend on the nature of 
the case. 

Envisaged changes in the regulatory regime (c/f.  the Commission proposal to issue 
a Green paper on the infrastructure provision) which occur during the period of the 
execution of this Community-action, will be fully taken into account. 

- 2 3-

3.2 

SUPPORT FOR THE; PROJECTS OF COMMON INTÉRESt, 

32.1  THE FEASIBILITY STUDIES 

52.  While  due  account  will  be  taken  of  their  infrastructural  nature  the  projects  of 
common interest have first to be the subject of careful definition and evaluation of 
their financial viability.  This  work will  be  carried  out  within  the framework of 
feasibility  studies, which can if necessary include a validation phase. They will be 
concentrated in the first years of the implementation of the programme. 

These feasibility studies will generally be financed at 100% by the Community, and 
will be carried out by contractors chosen within the framework of calls for tenders. 

322  FINANCIAL  INCENTIVES  FOR  THE  EXECUTION  OF  THE  PROJECTS  OF 

COMMON INTEREST 

53. 

The means specifically  under consideration  in the Community budget  to support 
the execution of the projects of common interest are loan guarantees and interest 
subsidies.  They  can  be  supplemented  by  recourse  to  the  temporary  lending 
instrument and to the European investment funds decided by the European Council 
at Edinburgh. It is also possible to finance these needs by means of the ordinary 
loans  of  the  BEI  and,  for  the  Objective  1 regions,  by  a  contribution  from  the 
structural funds. Each one of these sources of finance has to be implemented within 
its own  framework. 

54.  With regard to the infrastructure as such, the implementation of the EURO-ISDN 
involves  considerable  investments,  in  the  order  of  several  tens  of  billion  ECU. 
These  investments  in  general  are  already  programmed  by  the  public  networks 
operators, but the Annexes C and D show that in a number of fields, the calendars 
planned for the deployment of the EURO-ISDN are not in line with the target date 
end of  1994. The means of incentive available will mainly be used in this case to 
expedite the planned deployment. 

The  entities  eligible  for  this  category  of  operations  will  be  mainly  the  public 
network  operators  who  'are  in  charge  of  the  implementation  of  the  ISDN 
infrastructure.  Given  the  high  amount  of  investments  to  be  supported,  and  the 
limited means available, the intervention of the Community will have to be carried 
out by judiciously proportioned recourse to the various sources, taking into account 
priorities and the specific situations of the public network operators. 

55.  With regard to the aspects connected with the services (end-to-end interoperability 
and migration of the services towards the EURO-ISDN), the actions are led  in a 
liberalized field, the interested entities being the public network operators and the 
private service providers. The projects identified in the feasibility studies will have 
to be carried out within a framework of calls for tender in order to determine the 
attribution of support  in compliance with the Community rules. With regard to the 
implementation of migration possibilities of the services concerning the interchange 
of data between administrations, close coordination will have to be carried out with 
the TNA-IDA action. 

- 2 4-

56. 

Lastly, concerning the terminals, mainly feasibility  studies regarding needs of the 
market  and  promotion  of  the  types  of  terminals  corresponding  to  the  criteria 
defined  in the context  of the trans-European networks are envisaged: recourse to 
interest  subsidies  and loan  guarantees  should  not  be frequent here. In  this field 
where free competition has to be exerted, the measures taken will have to comply 
with the Community competition rules. 

3.23 

IMPORTANCE  OF  TWO  OF  THE  PROJECTS  OF  COMMON  INTEREST: 
TELEMATIC PLATFORM AND EUROLABEL 

57. 

The projects on "telematic platform" and "EUROLABEL", which are the subject of 
the  second  broad  line  of  measures  and  the  objective  of  which  is  to  ensure  and 
maintain  an  essential  character  of  a  trans-European  network,  namely  the  full 
interoperability of the basic services, have a horizontal aspect which confers them a 
special importance. They will indeed ensure the coherence of the basic services and 
the underlying network. 

The common telematic platform will consist of a coherent architecture and common 
protocols as much as possible harmonized and re-used for a number of applications. 
The platform will be based on the existing results of standardization, supplemented 
by  later  work  if  necessary.  This  project  will  have  to  be  coordinated  with  the 
architecture defined in the TNA-IDA action, as well as with those made at a later 
date  for  the  broad-band  ISDN.  The  construction  of  the  telematic  platform  will 
require  several  feasibility  studies,  going  from  the  definition  phase  to  that  of 
validation. 

58. 

The proposal for  a EURO-LABEL aims at the promotion  of  the compatible end 
systems  and  at  improving  their  visibility  for  the  users.  Technically,  the  EURO-
LABEL  will  encourage  the  verification  of  interoperability  in  a  multi-vendor 
environment,  thus  contributing  to  the  enhancement  of  competition.  The 
development  of  the  EURO-LABEL  involves  the  collaboration  of  the  public 
network operators, of the private service providers, of the terminal manufacturers, 
the test  and user organisations  (for  example the "European ISDN User Forum"). 
Within the framework of  a number  of  feasibility  studies,  these  sector  actors will 
have to define the concept of such a label jointly. It is envisaged that after a support 
effort limited to the launching of the system, it will be maintained of itself. 

33  MEASURES 

IN 

INTEROPERABILITY 

SUPPORT 

OF 

INTERCONNECnVITY 

AND 

59. 

The  objective  to  achieve  and  maintain  full  interconnectivity  of  the  networks 
implemented  in  the Member States  and end-to-end  compatibility  of certain basic 
services will be supported by the Community action. 

60.  While the advantages of interoperability  are principally clear, it is still difficult  to 
explain this concept to users and to market products which are interoperable (in a 
multi-vendor  environment).  Measures  to  raise  the  awareness  are  required. 
Moreover, in certain areas further standardisation work may be needed. This work 
will be mandated to the recognised standardisation organisations in Europe. 

- 2 5-

61. 

Interoperability testing is an efficient way to verify whether products from different 
sources can  interoperate.  Further  support  in  this  respect  for  the  basic  telematic 
services is envisaged. 

It is noted, that some of the projects of common interest have a double nature, Le., 
they  concern  also  this  second  level  of  Community  action  in  support  of 
interoperability. 

3.4 

62. 

FINANCIAL ASPECTS 

The methods of the Community financial contribution, financing of the feasibility 
studies  and  incentives  for  the  execution  of  the  projects  of  common  interest,  are 
clarified as in points 3.2.1 and 3.2.2. 

The financial statement accompanying the draft decision gives an overall picture of 
the budgetary implications of this proposal for the 1993-1997 period. 

4. 

THE COORDINATION OF THE NATIONAL POLICIES 

-26-

4.1 

63. 

64. 

GENERAL ASPECTS 

It  is  inherent  to  the  approach  of  a  policy  which  aims  at  coordination  and 
harmonisation, to establish a close collaboration with the players involved. 

With the changes which have been introduced to the telecommunications sector in 
the Community, two main types of actors will be involved in the case of ISDN. 

Firstly, the Member States, which are responsible for the ISDN policy in their own 
territory  and  have  in  particular  to  ensure  the  required  stability  of  regulatory 
environment for making available a public service offering on the entire territory, in 
correspondence with market needs. 

However,  in view  of  the  objective  of  European-wide  harmonised introduction,  a 
coordination of national policies has to be done at a European level 

*i 

•"' 

'• 

• 

The  Community  has  already  strongly  promoted-the  coordination  of  plans, 
promotion of awareness and support notably of standardisation efforts in its ISDN 
policy since 1984. This coordination has now to be strengthened. 

65. 

Secondly,  the  public  network  operators,  which  in  all but  one  case  are  granted 
exclusive rights for  the provision  of  the network infrastructure  and today for the 
voice service, are responsible for the planning, financing and implementation of the 
infrastructure in such a framework. Account will be taken of any modification of the 
present regulatory regime. 

The Member States together with  the public network  operators will in particular 
have  to  make  available  all  input  data  required  to  conduct  the  feasibility  study 
related to infrastructure projects. 

Other sector actors, for example the manufacturing industry will be associated for 
projects related to the availability of EURO-ISDN terminals. 

As  discussed  in  the present  document,  the  specific  Community  action  under  the 
TEN  framework  would  intensify  and  adapt  this coordination  role  to  the  specific 
needs of the operation of the single market. 

Close cooperation between these actors is required. It is proposed to organize it in 
the framework of  two groups: the  TEN-ISDN  Committee  and  the  EURO-ISDN 
coordination platform. 

42. 

66. 

-27-

THE COMMITTEE TEN-ISDN 

A  committee  which  will  assist  the  Commission  in  the  implementation  of  the 
Community action TEN-ISDN will be established. It will have a number of tasks: 

- 

It will examine the work programme of Feasibility Studies; 

It  will  be  consulted  on  the  definition  of  the  projects  and  the  allocation  of 
support; 

It will assist in the establishment of evaluation criteria; 

It  will  examine  the  annual  reports  on  the  implementation  of  the  series  of 
guidelines and to discuss and propose possible amendments. 

The Committee will be composed  of representatives from the Member States and 
the  Commission.  A  representative  of  the  Commission  will  chair  committee 
meetings. 

If an updating of the guidelines appears necessary, the Commission plans to discuss 
this  issue  with  the  Member  States  in  the  framework  of  this  Committee.  The 
Committee  may  also  be  involved  in  the  discussion  of  related  matters,  e.g.  the 
question of the eligibility of actual proposals for projects of common interests. 

43. 

THE EURO-ISDN COORDINATION PLATFORM 

67. 

The  TEN-ISDN  coordination  platform  will  allow  to  bring  together  the  relevant 
sector actors, network operators, service providers, manufacturers, test houses, etc. 

Representatives  of  the  Member  States  authorities  and  from  the  Commission  will 
assist 

Based  on  the  experience  of  the  WG  TEN-ISDN,  it  is  proposed  that  this 
coordination  platform  assumes  the  form  of  an  informal  series  of  meetings.  The 
Commission  will  organise  these  meetings  when  necessary  and  will  provide 
secretarial support. 

Principal task  of this coordination  platform  is to  discuss sector  specific  aspects of 
horizontal nature relevant  to the implementation  of the series of guidelines. It will 
form a suitable mechanism for  the discussion of projects of common interest which 
may be forwarded  on  the basis  of joint  proposals  of  interested  sector  actors. The 
meetings will be open to all concerned sector actors. 

68. 

In  order  to  ensure  clear  conditions  and  where  required,  a commercial framework 
for  example  for  the  submission  of  joint  proposals  or  the  definition  of  common 
architecture, sector actors may develop instruments like for example memoranda of 
understanding or European Economic Interest Groupings (EEIG) in the context of 
this action. 

The  coordination  platform  will  take  particular  account  of  user  positions.  Liaison 
with the European ISDN User Forum  (EIUF)25 and other relevant user groups will 
be organized. 

25 

EIUF is a user forum which was initiated  by DG  XIII of the CEC and which has the objective to  identify 
user requirements related to the further  shaping of EURO-ISDN. 

- 2 8-

69. 

In addition, a relationship will be strengthened or established with other specialised 
organizations: 

•  ETSI,  which  is  the  recognised  standards  organization  responsible  for  ISDN 
standardization in Europe, and with which the Community has well established 
links; 

-  the group IMIMG26, which involves 26 operators from 20 European countries; 

.  ETNO27, with which the mutual interest of establishing a cooperation link will be 

explored. 

26 

27 

ISDN MoU Implementation and Management Group 

European Telecommunications network Operators 

5. 

COOPERATION WITH THIRD COUNTRIES. 

-29-

70. 

The nature of telecommunications  in general  and certainly the nature of ISDN is 
global 

International  and  regional  standardization  is  a  major  prerequisite  for  the 
development of ISDN. 

Thanks to ETSI, Europe has a leading position in ISDN standardization. EURO-
ISDN will be implemented on ETSI standards (which are as far as possible in line 
with world wide standards). 

Some coordination for the introduction of EURO-ISDN exists in the form of the 
MoU  group  discussed  in  Chapter  1, which  involves  operators from all  Member 
States  of  the  Community,  all  EFTA  countries  (except  Liechtenstein)  and  some 
other Western European countries. 

A  closer cooperation  of  the Community with the  EFTA countries and the  other 
Western  European  countries  for  all  coordination  efforts  for  ISDN  in  Europe  is 
required. 

A  separate  proposal  will  be  prepared  on  the  method  and  extension  of  such  a 
coordination effort with third countries. 

71. 

72. 

- 3 0-

6. 

THE  REASONS  OF  THE  COMMUNITY  INTERVENTION  IN THE  FIELD  OF 
THE ISDN 

73. 

74. 

75. 

The  availability  of  a  general  switched  network  ,  allowing  the  offer  of  advanced 
services in telephony, image and data communication  on a trans-European level, is 
an  essential prerequisite,  so that  all economic operators, public or private, and in 
particular  the  SME's, can benefit  to  the  maximum  from  the  establishment  of  the 
single  market,  and  the  implementation  of  the  four  freedoms  of  movement.  As 
shown in Chapter  1, the ISDN has the characteristics making it possible to give the 
type of  advanced  services  necessary  now for  the  actors carrying out  an  economic 
activity. 

The Community has implemented since 1984 a policy in support of the coordinated 
introduction  of ISDN. On the basis of a  Recommendation  adopted by the Council 
in  1986, the  Commission  has  regularly  informed  the  Council  and  the  European 
Parliament  on  the  progress  of  the  introduction  of  ISDN  in  the  Community  by 
annual  reports.  The  communication  of  these  reports  gave  rise  to  two  Council 
Resolutions on ISDN, one in  1989 which aimed at the further  strengthening of  the 
coordinated  introduction  of ISDN in the Community, the other in June 1992 which 
stressed  the  importance  of  developing  the  ISDN  as  a  trans-European  network. 
Moreover,  the  Council  adopted  also  in  June  1992  a  Recommendation  on  the 
application of the ONP to ISDN. 

Parallel  to  the  continuation i of "these  political  developments,  the  Community 
supported, in particular financially, the work of the ETSI for the production  of the 
standards defining a harmonized version of the ISDN (EURO-ISDN), the essential 
base to  ensure the interoperability  and  the interconnectivity  of the national ISDN 
implementations with the aim of making ISDN a genuine trans-European network. 

Since several years, the network operators of several Member States have started to 
provide  ISDN  services  at  a  national  level.  The 
implementations  present 
considerable differences from the point of view of the range of services offered,  and 
also  regarding  the  technical  characteristics  of  accesses  of  those  networks.  This 
situation  does  not  ensure  the  required  degree  of  interoperability  of  the  national 
network offerings.  Aware of this situation, the public network operators concluded 
a  "MoU" within  the framework of which they commit  themselves to  implementing 
the EURO-ISDN: compatibility between the various networks and national services 
can indeed be obtained  only if,  in their  implementation,  harmonized  standards  are 
rigourously applied. 

One can therefore  note that  the elements for  the deployment  of a  trans-European 
ISDN exist, and that  the interest  of such  a type of development was recognized by 
the  Council  in  1992.  Taking  into  account  the  progress  of  regulation  in  the 
Community,  which  prompts  the  actors  of  the  sector  to  give  new  value  added 
services, it is nevertheless  not very likely that  other  actors than the public network 
operators,  which  have  already  begun  large  investment  programmes,  would 
introduce  a  generalized  ISDN  in  the  Community.  If  the  commercial  service  of 
ISDN  in  the  countries  where  a  substantial  offering  already  exists  is  not  yet 
confirmed,  demand  develops  nevertheless,  and  should 
increase  when  a 
homogeneous  offer  covering  the  entire  Community,  and  more  largely  Europe,  is 
available. 

-31-

76. 

The  implementation  of  a  voluntary  approach  based  on  the  commitment  of  the 
sector  actors  as  regards  trans-European  networks,  such  as  it  is  envisaged  in 
particular in the Title XII of the Treaty of the European Union, is necessary so that 
this  general  deployment  is  carried  out  quickly,  in  order  to  strengthen  the 
competitiveness  of  the  European  companies  and  to  provide  the  internal  market 
with the means of effective  communication which it needs already today. It arises 
indeed from the  observation  of  the  situation  and from the  discussions  with  the 
network  operators  that  a  number  of  reasons  slow  down  the  introduction  of  the 
EURO-ISDN: 

-  the  experience  showed in  the past  that  it was insufficient  to  rely only  on  the 
efforts carried out at the level of the Member States when wanting to arrive at 
the  implementation  of  a general  infrastructure  according to  a given  timetable 
with the stimulant alone of the existence of a harmonized standard; 

- 

the  MoU  concluded  between  the  public  network  operators  excludes  explicitly 
certain aspects, like the coordination  of  the introduction  of  basic services and 
the questions touching the terminals. But the field of the services and that of the 
incompatible  developments: 
terminals  are  particularly  susceptible 
coordination at European level is necessary to obtain harmonized developments; 

for 

-  the field  of responsibility of the public network operators covers in general the 
national  level  No  mechanism  ensures  currently  this  responsibility  across  the 
Community, in particular with regard to the offer of basic telematic services. To 
allow  the  coordination  of  these  lacking  aspects  -  inter  alia  with  the  1-Stop 
Shopping recommended  by the  Council? in  the  ONP  measure  on ISDN  -,  the 

4  creation of a  telematic platform at a Community level is necessary; 

-  all  the  measures  have  to  be  based  on  harmonized  standards  prepared  by 
recognized standardization organizations. But collaboration can not be limited to 
the application  of these standards only: practical questions connected with the 
introduction  of  the  services: choices  of  the  options,  test  conditions,  measures 
aiming to ensure the interoperability, have also to be coordinated if one wants to 
introduce successfully a harmonized ISDN; 

-  under the current conditions of regulation and vis-à-vis a demand which is not 
yet self-sustaining,  the existence of incentives for investments can help to create 
a more rapid take-off of harmonized network and service supply; 

-  finally,  for  the  ISDN  being  a switched  network  for  general  use, which  should 
allow  two  users  wherever  located  in  the  Community  to  communicate,  it  is 
essential that this modern infrastructure is available in due time also in the less 
favoured peripheral areas. In the contrary case, this infrastructure would lose of 
the interest,  even  for  the  users of  the central  regions of  the  Community.  The 
STAR  programme  has  already  contributed  to  the  digitalization  of  the 
infrastructures of these regions. It would be appropriate that the measures taken 
in  future  with  the  aid  of  the  structural  funds  take  into  account  the 
implementation of the EURO-ISDN. 

-  If  the  Community  would  remain  inactive,  it  is  believed  that  the  LFR's  will 
encounter a further widening of the gap in comparison to the status of advanced 
communications in the central regions. 

C'"  '<-, 

- 3 2-

77. 

The actions aiming to remedy the difficulties  evoked above are of nature such as 
they have  to be  taken  at  the  Community level  or, still better,  at European level. 
They will have to aim at the following three effects: 

-  to  accelerate  the  deployment  of  the  EURO-ISDN  and/or  the  adaption  of 

existing offers to become EURO-ISDN conformant; 

•  to encourage the coordinated introduction of harmonized basic services; 

-  to  adapt  the  offer  of  the  EURO-ISDN  to  the  specific  needs  resulting from 

operation of the internal market. 

78. 

The  deployment  of  the  ISDN  as  a  trans-European  network  is  justified  by  the 
contribution  that  it  brings to  the  economic  operators and to  the  administrations 
allowing to draw a maximum benefit from the establishment of the internal market 
and enabling the implementation of the four freedoms of movement. 

The above section details the reasons of technical nature for which a Community 
intervention is essential in this field. But this intervention is limited on the one hand 
to coordination  tasks, on the other hand, when that appears suitable, to a certain 
stimulation of investments by the actors of the sector. 

79. 

The size of investments necessary for the deployment of a trans-European ISDN by 
implementing the EURO-ISDN is several tens of billion ECU: it is clear that these 
investments fall within the  competence  of  the sector actors, mainly of  the public 
network operators which have to finance this infrastructure. The appropriations to 
the  Community budget  to  support  this  action  account  for  less  than  1% of  these 
investments, which shows that they can only achieve an effect  of coordination and 
of catalytic stimulation. 

It is therefore envisaged to target the use of the Community contribution to arrive 
at  the  achievement  of  objectives,  the  interest  of  which  is  recognized,  and which 
would otherwise  not be  realised  only by the  actors of  the  sector  in the Member 
States. This contribution will take all its effect  insofar as it will make it possible to 
accelerate  infrastructure  investments  envisaged  in  the  field  of  the  ISDN,  and  to 
guarantee the interconnectivity of the networks set up in the Member States. These 
investments,  which  can  in  addition  enjoy  the  support  of  the  various  financial 
instruments of the Community, will to take part in the growth initiative decided in 
Edinburgh, and contribute to Community cohesion. 

-33 

CONCLUSIONS 

80. 

In the past, telecommunications networks and services had often been developed at 
a  national  level,  which  had  led  to  many  incompatibilities  and  which  has  an 
aftermath  until today. This  endangers  the  competitiveness  of European  industry. 
Independent reports suggest that ISDN may be the opportunity for the Community 
to catch up this delay. 

Ideally, a fully fledged ISDN offering should be available with the completion of the 
single  market.  The  current  plans  of  the  PNO's  foresee,  that  the  EURO-ISDN 
deployment will begin at the middle of the year 1993 and will extend over several 
years. 

81. 

On  the  basis  of  the  Community's  ISDN  policy  since  1984,  the  present 
Communication explains the interest to develop in the Community the ISDN as a 
trans-European  network,  and  proposes  a  series  of  guidelines  aiming  at  this 
objective  as well  as  the  Community  contribution associated with this action. The 
proposal  takes  full  account  of  the  growth  initiative  decided  by  the  Edinburgh 
Council 

A  first  decision  is  submitted  for  the  adoption  of  these  guidelines.  It  covers  the 
objectives,  priorities,  the  broad  line  of  measures  and  the  projects  of  common 
interest for the implementation of ISDN as a trans-European network. 

The  second  proposed  decision  concerns  the  Community  contribution  to  the 
implementation  of  this  trans-European  network. It  aims  mainly  to  support  this 
implementation by coordination work and, for a limited amount, by stimulation of 
the  investments  of  the  sector  actors  by means  of  interest  subsidies  and  of  loan 
guarantees. 

Moreover,  it  is  requested  from  the  Council  to  authorise  the  Commission  to 
undertake  exploratory  discussions  with  the  countries  of  EFTA  and  with  other 
interested  European  countries,  with  a  view  to  establishing  if  there  is  a  mutual 
interest to cooperation in this field of the introduction of the EURO-ISDN. 

1H 

Proposal for a 

COUNCIL DECISION 

on a series of guidelines for 
the development of ISDN as a 
trans-European network 

THE COUNCIL OF THE EUROPEAN COMMUNITIES, 

Having  regard  to  the  Treaty  establishing  the  European  Economic  Community,  and  in 
particular Article 235 thereof; 

Having regard to the proposal from the Commission1; 

Having regard to the opinion of the European Parliament; 

Having regard to the opinion of the Economic and Social Committee; 

Whereas the internal market establishes an area without internal frontiers within which the 
free movement  of  goods,  persons,  services  and  capital  must be  guaranteed; whereas  in 
order  to  ensure  each  of  these  freedoms  the  Community  acts  adopted  or being  adopted 
provide  for  measures  involving  substantial  interchange  of  data  between  individuals, 
economic operators and the competent administrations; whereas such interchange can be 
ensured using trans-European networks; 

Whereas the aim of establishing trans-European networks is to allow of the circulation of 
information, with  a view  to  enable  the proper  functioning  of  the internal  market  for  all 
participants, in particular the small and medium sized enterprises in the Community; 

Whereas  a  trans-European  ISDN  will  form  a  basic  element  of  trans-European 
telecommunications networks; 

Whereas it is important, for the purpose of the internal market, to facilitate the movement 
of  goods,  services,  persons  and  capital  between  the  Community  and  non-Community 
countries,  and  more  specifically  the  member  countries  of  the  European  Free  Trade 
Association; whereas  this will  lead  to  intensified  trade  relations  between  the  economic 
operators of the countries concerned; whereas in turn this requires cooperation with those 
countries in order to promote European-wide connectivity and interoperability of ISDN; 

3S" 

Whereas  appropriate  Community  action  is  needed  to  establish  adequate  coordination 
between  the  Member States  and those  responsible  for laying the basic infrastructure,  in 
order to  ensure a harmonised  introduction  of ISDN services; whereas failure  to  adopt a 
Council  Decision  on  the  development  of  ISDN  as  a  trans-European  network  would  be 
liable to result in a lack of interconnection and interoperability between  national networks 
and in a limited availability of compatible basic services; 

Whereas the only legal basis provided by the Treaty for adoption  of  this decision  lies in 
Article 235; 

HAS DECIDED AS FOLLOWS: 

Article 1 

This Decision lays down the guidelines identifying the objectives, priorities, broad lines of 
measures  and a number  of  projects  of  common  interest  concerning  the  development  of 
ISDN as trans-European network. 

Article 2 

The objectives for the development of ISDN as trans-European network are: 

the availability of ISDN facilities including a basic set of services fully conformant  to 
harmonised European standards referred to hereafter as EURO-ISDN; 

the full geographical coverage of EURO-ISDN facilities in all Member States. 

Article 3 

The priorities for attainment of the objectives referred to in Article 2 are as follows: 

to contribute to the rapid availability of EURO-ISDN facilities for all business users, in 
particular small and medium sized enterprises; 

to maximise the usage of EURO-ISDN in the Community; 

to facilitate the access of the peripheral regions by means of EURO-ISDN. 

"it 

Article 4 

The broad lines of action designed to attain the objectives referred to in Article 2 shall be 
as follows: 

elimination of bottle-necks in the roll-out of EURO-ISDN; 

to ensure the end-to-end interoperability of telematic services; 

migration of public and private sector applications to EURO-ISDN; 

promotion of EURO-ISDN terminal availability. 

Article 5 

The  development  of  ISDN  as  trans-European  network  to  be  implemented  under  this 
Decision  shall  be  covered  by  projects  of  common  interest.  The  projects  are  set  out  in 
Annex 1. 

Article 6 

1.  The  Member  States  shall  introduce  the  regulatory  and  organisational  measures  to 

allow the implementation of ISDN as a trans-European network. 

2.  The  Member  States  shall  encourage  the  public  network  operators  to  introduce  the 
infrastructure required for the development of ISDN as a trans-European network. 

Article 7 

The Commission is hereby authorised to open negotiations with non-Community countries 
likely to conclude agreement with the  Community designed to allow them to participate in 
the projects of common interest referred  to in Annex  1 and to improve interconnectivity 
and  interoperability  of  the  ISDN  implementation  between  those  countries  and  the 
Community Member States. 

In  1997, the Commission will carry out an overall evaluation  of the guidelines defined  in 
this Decision in the light of any change in the regulatory conditions applicable to ISDN. 

Article 8 

This Decision is addressed to the Member States. 

Article 9 

It shall  take  effect  21  days after  its publication  in  the  Official  Journal  of  the European 
Communities. 

Article 10 

Done at. 

l€ 

Annex 1 

Projects  of  common  interest  concerning  the  development  of  ISDN  as  a  trans-European 
network: 

Elimination of bottle-necks in the roll out of EURO-ISDN: 

Identification  of  "bottle-necks",  eg.  in the  roll-out  of  EURO-ISDN  and measures 
which improve the availability of EURO-ISDN facilities. 

Analysis of differences in the existing plans for the introduction of the packet-mode 
bearer  services  and  proposals  which  aim  at  the  harmonisation  of  these 
implementations  in  a  manner  that  at  least  a  Community-wide  service  can  be 
offered. 

Development for transborder applications in particular corresponding to the needs 
ofSMEs. 

Ensure end-to-end Interoperability of telematic services: 

Development  of  a common  telematic platform with particular attention to the six 
services listed. 

Development of a voluntary EURO-LABEL. 

Migration of public and private sector applications to EURO-ISDN: 

Migration of existing or planned TNA applications to EURO-ISDN. 

Migration  of  other  applications  (applications  developed  in  the  context  of  other 
Community measures, eg. health care networks, network between scientific parks, 
dedicated networks like IXI etc.) to EURO-ISDN. 

Migration of public and private sector applications operated on other networks to 
EURO-ISDN. 

Promotion of EURO-ISDN terminal availability: 

Analysis of EURO-ISDN terminal requirements in the context of market needs. 

Promotion of the availability of EURO-ISDN terminals. 

Development of 1-Stop shopping and billing principles for EURO-ISDN. 

33 

Proposal for a 

COUNCIL DECISION 

adopting a multi-annual Community action concerning the development of ISDN as a 
trans-European network (TEN-ISDN) 

THE COUNCIL OF THE EUROPEAN COMMUNITIES, 

Having  regard  to  the  Treaty  establishing  the  European  Economic  Community,  and  in 
particular Article 235 thereof; 

Having regard to the proposal from the Commission1; 

Having regard to the opinion of the European Parliament2; 

Having regard to the opinion of the Economic and Social Committee3; 

Whereas the Council adopted a Decision [...]4 on a series of guidelines for the development 
of ISDN as a trans-European network; 

Whereas the Council Recommendation  86/659/EEC5 calls for the availability of  a set of 
European-wide compatible ISDN offerings which is also the subject of a Memorandum of 
Understanding (MoU) between the public telecommunications networks operators; 

Whereas the Council Resolution of 18.07.896 calls for the strengthening of the coordination 
of the ISDN in the European Community up to 1992; 

Whereas the Council Recommendation of 05.06.19927 calls for the application of the open 
network access principles to ISDN; 

1  OJ... 

2  OJ... 

3  OJ... 

4  OJ... 

5  OJL 382,31.12.89, p. 36 

6  OJ (89/C  196/04) 

7  OJ No. L 200/10 from 18.07.92; 

MO 

Whereas the Council in its Resolution from 05.06.19928 has recognized the importance of 
developing ISDN in the context of trans-European networks; 

Whereas  the  Council  in  its  Resolution from 7  December  19929 regarding  the  means to 
ensure the good functioning of the internal market has stressed the urgency to reinforce the 
telematics and other communications networks; 

Whereas ISDN is conceived as the general  switched telecommunications network evolved 
out of the telephone network; 

Whereas  the  availability  of  a  modern,  general  telecommunications  infrastructure  is  an 
important factor to enable the economic actors to take full benefit from the market without 
internal  frontiers; 

Whereas current implementations of ISDN have an insufficient  degree of harmonisation, 
which hinders, for example, the free movement of ISDN terminal equipment; 

Whereas  the  availability  of  end-to-end  compatible  basic  service  (other  than  voice)  is 
insufficiently developed; 

Whereas  there  is  a  need  for  coordinated  action  for  the  deployment  of  compatible pan-
European services, so as to reinforce the competitiveness of European industry; 

Whereas  cooperation  is  also  appropriate  with  non-Community  countries  in  order  to 
promote projects of common interest and to ensure interconnectiyity and interoperability 
of ISDN implementations; 

Whereas the Community consequently needs to establish a framework for the contribution 
of the Community to the implementation of ISDN as a trans-European network; whereas 
the  objectives  of  the proposed  measures  cannot  be  adequately  attained by the Member 
States and therefore, by virtue of the scale and scope of the measures in question, are best 
carried out at Community level; 

Whereas the only legal basis provided by the* Treaty for adoption of this Decision lies in 
Article 235; 

HAS DECIDED AS FOLLOWS: 

8  OJ (92/C 158/1) from 25.06.92; 

9  OJ C 334 from 18.12.92, p. 1-3; 

*\A 

Article  1 

A  multi-annual  Community  action  TEN-ISDN  as defined  in Annex  1, hereinafter  referred 
to as the "action", is hereby adopted. It shall run five years from  the date of this Decision. 

Article 2 

The  objective  of  the  action  is  to  support  projects  of  common  interest  concerning  the 
development  of  ISDN  as  a  trans-European  network,  identified  in  Decision  [..J10;  Such 
support  shall  relate  to  the  implementation  of  ISDN  facilities  in  conformity  with  the 
relevant  harmonised  standards  produced  by  ETSI11,  with  a  view  to  ensuring  the  full 
interconnectivity  and interoperability  of ISDN  implementations. 

The contents of the action is set out in the Annex. 

Article 3 

Article 4 

1.  The  implementation  of  the  action  shall  be  closely  coordinated  with  Community 
policies and requirements  of users, notably small and medium  sized enterprises,  arising 
from  the endeavour  to exploit the freedoms  of the internal market without  frontiers. 

2.  This coordination  shall apply  notably to  the following  areas: trans-European  networks 
and  services,  standardisation,  identification  of  user  requirements,  legal  and  data 
protection  aspects raised by the introduction  of ISDN. 

The  Commission  is  hereby  authorized  to  negotiate  agreements  with  non-Community 
countries with a view to their full  or partial involvement  in the  action. 

Article 5 

Article 6 

1.  The Commission  shall be responsible for  the implementation  of the  action. 

2.  The procedure laid down in Article 7 shall apply to : 

the drawing up of the work programme for  feasibility  studies; 

the adoption  of the recommendations  of the feasibility  studies; 

the establishment  of criteria  for  the assessment  of the  action; 

10  OJ... 

H  European Telecommunications Standards Institute; a recognised standardisation organisation; 

MX-

Article 7 

1.  The Commission shall be assisted by a committee of an advisory nature composed of 
the  representatives  of  the  Member  States  and  chaired  by  a  representative  of  the 
Commission. 

2.  The Commission representative shall submit to the committee a draft of measures to 
be  taken. The  committee  shall  deliver  its  opinion  on  the  draft,  voting  if  necessary, 
within a time limit which the chairman may set depending on the urgency of the matter 
concerned. 

The opinion  of  the committee shall be recorded in the minutes; each Member State 
shall be entitled to ask for its opinion to be recorded in the minutes. 

The Commission  shall give serious consideration to the committee's opinion. It shall 
inform the committee of how it has taken account of the opinion. 

3.  The committee may examine any question in relation to the development of ISDN as 

TEN. 

Article 8 

1.  Every  year  the  Commission  shall  report  on  the  activities  to  the  Council  and  the 

European Parliament. 

2.  At  the end of  the action, the Commission shall present a final report to the Council 
and the European Parliament, including an assessment of the extent to which each of 
the  objectives  laid  down  for  the  action  has  been  attained,  on  the  basis  of  criteria 
established in accordance with the procedure laid down in Article 7 and propose any 
further action which may be needed. 

This Decision is addressed to the Member States. 

Article 9 

It shall  take effect  21  days after  its publication  in  the  Official  Journal  of  the  European 
Committees. 

Article 10 

Done at Brussels... 

M3 

Annex 

Definition  of the TEN-ISDN Action 

1.  The TEN-ISDN Action consists of the implementation of projects of common interest 
eligible under the series of guidelines defined  in Council Decision  [...]  and measures 
ensuring interoperability. 

Three categories of action can be distinguished: 

projects of infrastructural nature; 

projects concerning  telematic  services  and  applications  of  trans-frontier  nature; 
projects  promoting  the  ISDN  usage  including  promotion  of  ISDN  terminal 
availability; 

measures  concerning  the  end-to-end  compatibility  of  a  limited  range  of  basic 
telematic services and corresponding terminal equipment; 

2.  Projects of common interest can be supported by feasibility studies and by support for 

implementation. 

Feasibility  studies  for  projects  of  common  interest  normally comprise  the  following 
phases: 

analysing the requirements (eg. bottle-necks); 

definition of the action; 

specification of technical requirements (in some cases); 

preparation of an action plan including the methods suited for implementation of 
the project; 

validation, on a small scale, of,the essential functions of the solutions adopted (in 
some cases); 

assessment of the results obtained. 

In addition to the feasibility studies there will be regular monitoring of the projects and 
measures undertaken in the context of this action. 

Community support for the implementation  of projects of common interest  may take 
in particular the form of interest rate subsidies and loan guarantees. 

HH 

3.  The measures to ensure interoperability consist in: 

contribution to the development of prototypes and software functions; 

promotion of interoperable solutions specifically by the set up of a EURO-Label; 

interoperability testing; 

standardisation work; 

incorporating relevant R&D results notably from Community programmes; 

and the flanking measures: 

support for awareness for the notion interoperability; 

organisational support for the implementation of the above measures. 

<+*> 

FINANCIAL STATEMENT 

Item B5-720: 
Trans-European networks in the field of telecommunications:  ISDN 

1. 

TITLE OF OPERATION: 

Trans-European networks in the field of telecommunications. 

Community contribution to the implementation of the master plan adopted for certain 
priority trans-European telecommunications networks. 

2.  BUDGET HEADING INVOLVED: 

55-720 

N.B.: 

Although  this  budget  heading  also  covers  types  of  networks  other  than 
ISDN, the particulars given in this financial  statement refer only to ISDN. 

3.  LEGAL BASIS: 

-  Council recommendation 86/659/EEC of 22 December 1986 on the coordinated 
introduction of the Integrated Services Digital  Network (ISDN) in the European 
Community (OJL382,  31.12.1986,  p.  36). 

-  Council Decision 87/95/EEC of 22 December 1986 on standardization in the field of 

information technology and telecommunications (OJ L 36,  7.2.1987, p.  31). 

-  Council resolution of 18 July 1989 on the strengthening of the coordination for  the 
introduction of the Integrated Sendees Digital  Network (ISDN) in the European 
Community up to 1992 (OJ C196,1.8.1989,  p.  4). 

-  Council resolution of 22 January 1990 concerning trans-European networks (OJ C 27, 

6.2.1990,  p.  8). 

-  Council Directive 90/387/EEC of 28 June 1990 on the establishment of the internal 

market for  telecommunications services through the implementation of open network 
provision  (OJL192,  24.7.1990,p.  1). 

-  Commission Directive 90/388/EEC of 28 June 1990 on competition in the markets for 

telecommunications services (OJL192,  24.7.1990,  p.  10). 

-  Communication of 10 December 1990 from the Commission to the Council and the 

European Parliament entitled  "Towards trans-European networks - For a  Community 
action programme " [COM(90)585  final]. 

-  Proposal for  a  Council Regulation (EEC) presented  by the Commission on 24 February 
1992 introducing a declaration of European interest to facilitate  the establishment of 
trans-European networks in the telecommunications domain (OJ C 71, 20.3.1992,  p. 
12.f. 

» 

•• 

-  Conclusions of the Council of 31 March 1992 on trans-European networks. 

q-k 

Council resolution of 5 June 1992 on the development of ISDN in the Community as a 
European-wide telecommunications infrastructure for  1993 and beyond (OJ  C158, 
25.6.1992,  p.  1). 

Council resolution of 7 December 1992 on making the Single Market work (OJ C 334, 
18.12.1992,  pp. 1-3). 

Proposal for  a Council Decision of (.../.../...)  on a set of guidelines for  the 
development of ISDN in the Community as a trans-European network. 

Proposal for  a Council Decision of (.../.../...)  introducing a multiannual Community 
action for  the development of ISDN as a trans-European network (TEN-ISDN). 

4.  DESCRIPTION OF OPERATION 

4.1  Specific  objectives of operation: 

-  To carry out an operation representing the Community's contribution to the 
establishment and development of trans-European networks in the field of 
telecommunications,  particularly with regard to the Integrated Services Digital 
Network (ISDN). 

The purpose of the operation is to contribute to the harmonized development of 
the abovementioned networks and to the availability of certain basic services 
throughout the Community in order to enable operators to participate fully in an 
internal market without  frontiers. 

A second part of the Community activity is intended to assist the interconnection 
of such networks and interoperability of these basic services which are accessible 
via such networks.  It consists in defining,  for each area, a master plan of the 
trans-European network (such a plan already exists for ISDN) and then to 
implement the Community's contribution to the establishment of this network, 
while coordinating the activities contributing to this operation in the Member 
States, which will be called upon to provide the bulk of the necessary  investment 
to those involved in this operation, consistent with the principle of subsidiarity. 

-  The Community contribution will chiefly be in the form of feasibility  studies 

leading to a precise definition of projects of joint interest,  and subsequently in 
the form of interest rebates and loan guarantees granted to those involved to 
carry out such projects.  The Community contribution covers projects of joint 
interest and activities to promote interconnection of networks and 
interoperability of basic services. 

-  Given the scale of the investment required for the setting up of a general 
infrastructure and in view of the forms of support being considered, the 
Community contribution can only have a stimulating effect which will 
supplement the efforts being made at national  level. 

-  Although a relatively small percentage, the Community contribution is 
necessary, since without it there is an obvious danger of  insufficient 
harmonization and delay in deployment. 

4.2  Duration:  1993-1997 

4.3  Target population:  public network operators, providers of  telecommunications 

services, systems and software manufacturers, users. 

5.  CLASSIFICATION  OF EXPENDITURE OR REVENUE 

5.1  Non-compulsory expenditure 

5.2  Differentiated appropriations 

5.3  Type of revenue involved:  not applicable 

6. TYPE OF EXPENDITURE OR REVENUE 

6.1  Normally, the feasibility  studies and provision of the necessary services for 

implementing the work programme will be wholly financed;  the studies will be 
approved according to the standard Commission procedures  (invitation to tender, 
CCPC). 

6.2  Subsidy for joint financing with other sources in the public and/or private sector: 

-  Generally none 

6.3 

Interest subsidy: 

-  Interest subsidies may be granted to those involved in the sector taking part in 

the implementation of projects of common interest. 

6.4  Other: 

-  Provision has also been made for loan guarantees. 

-  Assistance will be sought from other Community financial  instruments (i.e. the 

Structural Funds, temporary loan instrument, etc.). 

6.5  Should the operation prove an economic success, is there provision for all or part of 

the Community contribution to be reimbursed?:  No. 

6.6  Will the proposed operation cause any change in the level of revenue?  No. 

7.  FINANCIAL IMPACT 

7.1  Method of calculating the total cost of the operation for the  1994 financial  year: 

In 1994 ECU 5 million will be earmarked for feasibility  studies, with an average of 
ECU 500 000 per study in the field of ISDN (ECU 5 million).  In addition, for 
ISDN, ECU 5 million has to be set aside to finance  interest subsidies. 

**r 

7.2  Breakdown of the individual components of the operation 

BREAKDOWN 

1993 BUDGET 

PDB 1994 

CHANGE 
IN% 

Studies 

Interest subsidies 

ECU 5 million 

ECU 5 million 

+40% 

ECU 5 million 

TOTAL 

ECU 5 million 

ECU 10 million 

7.3  Operational expenditure on studies, meetings of experts, etc. included in part B 

BREAKDOWN 

1993 BUDGET 

PDB 1994 

CHANGE 
IN% 

Studies 

Meetings of experts 

Conferences/congresses 

Information/publications 

TOTAL 

0 

0 

0 

ECU 100 000 

ECU 100 000 

ECU 200 000 

7.4  Indicative schedule of commitment appropriations 

Item B5-720 
Trans-European networks in the field of telecommunications: ISDN 

ed 

Consolida 
situation 
end 1992 
(l) 

Budget 
1993 

INDICATIVE SCHEDULE 

PDB 
1994 

1995 

1996 

1997 

TOTAL 

0 

5 

10 

19 

26 

30 

90 

(1)  Including implementation of mini-budgets for 1991 and 1992 charged to subheading B8. 

Sri 

8.  WHAT ANTI-FRAUD MEASURES ARE PLANNED IN THE PROPOSAL FOR THE 

OPERATION? 

The relevant Commission departments will verify  the proper implementation of the 
feasibility  studies prior to payment, taking into account contractual obligations and 
principles of good management. 

In conjunction with the relevant Commission departments suitable audit methods will be 
devised to deal with interest subsidies and loan guarantees. 

9.  ELEMENTS OF COST-EFFECTIVENESS  ANALYSIS 

9.1  Objectives 

The aim of this operation is to encourage those involved  in this sector in their 
efforts to achieve interoperability and interconnection of national ISDN networks. 
The aim of the Community contribution is to stimulate investment in these sectors 
of the order of billions of ecus in the medium term.  However,  in  1993 and 1994 
the operation will concentrate mainly on carrying out feasibility  studies for projects 
of common interest which, when implemented  in subsequent years, should generate 
the necessary investment. 

The operation is divided into two parts. The first concerns support activities for 
projects of common interest and its aim is the rapid and harmonized  establishment 
of the infrastructure and basic services.  The second part relates to horizontal 
activities, including support for interconnection of networks and interoperability of 
basic services. 

9.2  Grounds for the operation 

The purpose of this operation is to endow the Community with the modern means of 
communciation which are essential to its economic development.  Availability of 
advanced telecommunications networks in this particular field, involving 
multipurpose networks, is essential if operators are to take advantage of the 
opportunities to expand their activities, the economies of scale provided by the large 
Community market and the free movement of goods, persons, services and capital. 
Small businesses in particular (of which there are some ten million in the 
Community), whose key role in economic growth is acknowledged,  are dependent 
on the availability of a universal  infrastructure. 

Given that the services market is competitive (except for telephone services at the 
present time), a non-regulatory approach is indicated. 

Experience of recent years has shown that in the absence of any mechanism in this 
area at European level to ensure harmonized development, particularly of certain 
basic services, Community action is necessary.  In order to promote such 
coordination at European level, Community financing must also be made available. 
This Community support will be for a limited period and will be provided at the 
early stages to get the mechanism off to a good start.  Furthermore, a  financial 
contribution for the development of less-favoured  regions is consistent with the aims 
of this operation. 

Should these measures not be taken in good time, the development of ISDN in the 
Member States might be less effective because it would not be in general use and 
the basic services would not be compatible.  In every case, experience has shown 
that taking action after the event to rectify the lack of harmonization in such a 
development would prove more costly. 

So 

Proper coordination between the Member States, which is intrinsic to Community 
action, is necessary in order to ensure consistency between what is being done at 
national level and Community action.  The principle of subsidiarity applies fully in 
this case. 

9.3  Monitoring and evaluation of the operation. 

Each feasibility  study must state its exact objectives and define specific projects. 
The effectiveness  of the operation will ultimately be judged by the amount of 
investment forthcoming from those involved in the sector. 

All operations will be evaluated on an annual basis (report). The assessment will be 
based on objective criteria which will be drawn up by a committee monitoring the 
implementation of the operation. 

Moreover, the introduction of RNIS in the Member States of the Community is the 
subject of an annual report established by the Commission, based on the Council 
Recommendation of 22 December  1986. 

9.4  Consistency with financial planning 

Provision for this operation has been made in the multiannual financial programme 
under the heading Trans-European Networks. 

10.  ADMINISTRATIVE EXPENDITURE (PART A OF THE BUDGET) 

10.1  Will the proposed operation call for additional  Commission staff? If so, how many? 

Yes. The first stage will be to launch feasibility  studies, at a preparatory level,  in 
1993,  and then on a full scale in 1994.  Assuming that ten or so studies will be 
carried out for ISDN, approximately eight staff  (four A, one B and three C) will be 
necessary for management as of  1994.  In addition, coordination between Member 
States and financial engineering (setting up of interest subsidy and loan guarantee 
operations) will call for a further three staff (one A,  one B and one C).  Overall, 
five staff (two A, one B, two C) should be Commission officials,  with the 
remainder being employed on a non statutory basis. 

Total: Four A, two B and four C. 

10.2  Indicate the amount of staff and administrative expenditure involved  in the proposed 

operation. 

In the light of what has been said under  10.1,  six category A staff will have to be 
provided  in die form of seconded national officials  or experts and three category C 
staff as temporary secretaries. 

Committee meetings:  Some five meetings a year of the Consultative Committee, 
plus 40 or so meetings of groups specific  to the projects, at a cost of ECU  12 000 
per meeting, will require a meetings budget of  ECU 500 000 (A 250/251). 

Missions: ECU 75 000 (A  1300) 

sn 

NOTE TO THE COMMISSION  FROM V . - P.  M.  BANGEMANN; 
IN ASSOCIATION WITH COMMISSIONER  VANNI  D ' A R C H I R A F I) 

Trans-European Telecommunications  networks (TEN) 

1.  The introduction of the concept of trans-European networks  in Tide XII of  the Treaty on 
the European Union has  led to  the identification  of three priorities  for  the application of 
this concept in the sector of telecommunications: 

TEN-TNA: Telematic  Networks between  Administrations;  the  necessity  of  which  is 
directly derived from the needs of the single market; 

TEN-ISDN:  Integrated  Services  Digital  Network;  evolving  out  of  the  current 
telephone  network.  Since  1986,  the  year  of  the  first  Council  Recommendation 
concerning  this  type  of  network,  the  harmonised  introduction  of  ISDN  based  on 
European standards was promoted at the level of the Community; 

TEN-IBC: Integrated Broadband Communications; for which the Community's RACE 
programme has  established  the  functional  specifications  and  has  laid  the  technology 
base for a European wide introduction. 

In these three priority areas, the methodology of the said Tide XII is used, which foresees 
to define: 

a series of guide-lines (schéma directeur) and 

a possible Community contribution for the implementation of the fixed objectives. 

2.  The proposals concerning TEN-TNA1 have already been adopted by the Commission. 

Now, proposals for the two other priority areas are submitted. 

TEN-Intcrchangc of Data between Administrations; adopted on  15.03.1993; COM(93) 69  final; 

S  Z-

3.  Concerning TEN-ISDN die following documents are introduced: 

a draft Communication to the Council and the EP; 

a proposal for a Council Decision concerning the Schéma Directeur and 

a  second  proposal  for  a  Council  Decision  defining  the  envisaged  Community 
contribution to the implementation of the Schéma Directeur 

This latter proposal  is accompanied by a Financial Statement. 

Both proposals for Council Decisions are for the time being based on Article 235. 

4. 

ISDN  is  a general,  multi-purpose network  integrating  a  large  variety  of  voice,  data and 
images services via a single network access. 

While  in  six  Member  States  commercial  ISDN  offerings  exist,  in  the  other  half  of  the 
Member States only pilot implementations are available at current.  Moreover, the existing 
commercial  ISDN  implementations  are not yet harmonised  to  the  required  extent  which 
leads  to  problems  notably  with  regard to  the  European-wide  provision  of  basic  services 
(apart from telephony, those services are by and large missing or have technical problems) 
and  with  regard  to  terminals,  which  cannot  be  interchanged  freely  owing  to  technical 
differences  and hence, the free circulation of ISDN terminals is considerably hindered. 

5.  The transition and migration towards the EURO-ISDN which is fully based on harmonised 
European standards, is the main thrust of the proposed Community action. Taking account 
of  a  Memorandum  of  Understanding  (MoU)  in  which  26  (western)  European  public 
network  operators  have  committed  themselves  to  introduce  EURO-ISDN,  the  proposed 
Community action foresees complementary measures aiming: 

to accelerate the roll out of EURO-ISDN; 

to remedy the bottle-necks (eg. the one's mentioned above) and 
thus,  contribute 
the 
interoperability of the basic services. 

interconnectivity  of 

improved 

to 

infrastructure  and 

The investments  required for a general deployment of  EURO-ISDN  are estimated at some 
tens  of  BECU  and  are to  be financed by  the  public  network  operators.  Over  the  period 
1993-97  the  budget  for  the  proposed  Community  contribution  foresees  90  MECU.  The 
eventual financial support of  the Community  can thus  only  be  of  the  nature of  incentives 
and will  use the means indicated in Tide XII. 

7. 

Integrated  Broadband  Communications  can  be  described  as  the  next  major  step  of 
technological  innovation  of  the general  switched  telecommunications  infrastructure,  after 
ISDN.  IBC  includes  the  capabilities  for  very  high  speed  data  transmission,  for  the 
transmission of high definition images and advanced multimedia applications. 

S3 

While commercial  ISDN offerings  have started  already  in the late 80*s and the target date 
for  a  general  availability  of  EURO-ISDN  is  agreed  for  end  1994,  a general  commercial 
introduction  of  IBC will  start  after  1995.  Notwithstanding  this,  increasingly  elements  of 
IBC  technology  are  being  introduced  (eg.  optical  fibre,  notably  in  the backbone  of  the 
switched  network) already now.  Other elements  (eg.  ATM2 technology)  are the subject of 
major  trials  in  the  course  of  the  coming  years.  As  for  ISDN,  also  for  IBC,  the 
development of some basic service is crucial. 

Regarding 
experimentation with such services  is required  in the next years. 

the  definition, 

IBC  services, 

technical  development  and  practical 

8.  The  overall  time  frame  for  the  proposed  Community  action TEN-IBC  is  identical  to the 
one  for  ISDN  (93  - 97).  Given the different  status  of  ISDN  on one hand and IBC on the 
other  hand  Cm  terms  of  the  technology  and  the  timing  of  the  introduction)  the  approach 
and  the  nature of  the  proposed  Community  action  TEN-IBC  will  (partially)  differ  from 
TEN-ISDN.  A  full  scale  introduction  of  the  IBC  network  may well  extend  into  the next 
millenium 

. 

Regarding  the  approach  for  TEN-IBC,  it  is  proposed  to  start  with  a preparatory  action, 
which will be carried out during the following  24 months. 

To this end two documents have been elaborated: 

a  proposal  for  a  Commission  Decision  regarding  the  envisaged  preparatory  action 
TEN-IBC and 

a draft Communication informing the Council and the EP on this approach. 

9.  For the action TEN-IBC,  the budget planning  for  the period  1993-97  foresees  an amount 
of 95  MECU. The  investment for  the network  deployment  will  be in the order of  20 - 40 
BECU over the next ten years.  Again as for  ISDN,  this will  come onto the charge of the 
public network operators. The proposed Community financial support will only be a minor 
stimulation. 

10.  Both  types  of  networks  have  the  nature of  a general  infrastructure,  which  implies  that a 
full  geographical  penetration  (this  is  the defined  policy  objective)  will  extend  over  more 
than  a  decade.  Also  in  view  of  the  current  regulatory  regime  and  the  planned  further 
liberalisation, the basic problem is the creation of  a "critical  mass" so  that a stage of self-
contained  demand  is  reached.  The  proposed  Community  actions  aim  precisely  at  the 
support of mis initial phase. 

11.  The general  availability of a modern telecommunications  infrastructure  will  notably  be for 
the  benefit  of  many  SME's.  While  large  cooperate  users  can  afford  dedicated  solutions, 
SME's typically depend on die general  infrastructure. 

Asynchronous Transfer Mode, a switching technology  used for IBC 

SH 

Moreover, a modern telecommunications infrastructure will also contribute to an improved 
functioning of the single market, given the increasing trans-frontier communications needs 
which will arise for the participants of that market. 

12.  Owing  to  the  infrastructural  nature of  both  networks,  measures  in  support of  them  will 

furthermore have a possible impact in the context of the growth initiative. 

Firstly,  it can be expected that the enormous  investments will  have a direct impact on the 
employment. 

Beyond  this direct effect,  the availability  of  a modem communications  infrastructure  is a 
crucial  factor  for  the  competitiveness  of  the  European  countries  as  a  location  for 
entrepreneurial  activities,  since  the  cost  of  communications  presents  an  increasingly 
important cost factor for enterprises in general. 

13.  With  respect  to  social  and  economic  cohesion,  the  trans-European  telecommunications 

networks have a two-pronged role to play: 

the geographical  coverage of  the peripheral  regions of  the  Community  will  allow  to 
the users  and in particular to  the SME's to benefit  from  advanced services  which  is 
crucial for an efficient operation of their activities; 

they  can  become  an  essential  factor  concerning  the  cooperation  of  the  central  and 
peripheral  regions  of  the  Community,  thus  favouring  the  development  of  a  truly 
harmonised single market. 

14.  Finally,  reference  to  similar  efforts  in  the U.S.  (Al  Gore  initiative)  and  the law  on  the 
enhancement  of  the  telecommunications  infrastructure  in  Japan  is  made.  Europe  has  to 
watch not to fall behind those two regions in yet another key high technology domain. 

CONCLUSIONS 

15.  In  the  field  of  telecommunications  the  Commission  has  worked  out  clear  proposals 
regarding  TEN-ISDN  and TEN-IBC.  Those proposals  are based  on  a close  collaboration 
with the main sector actors concerned and are supported by them. 

In view of the importance of these proposals  in the context of the growth initiative,  for the 
social  and economic cohesion  and for  the competitiveness  of  Europe,  a rapid adoption of 
the proposals would help considerably to achieve the objectives  and to realise that the full 
potential benefits can be developed. 

The  agreement  of  the  Collège to  the  proposed  documents  TEN-ISDN  and  TEN-IBC  is 
requested. 

(4) 

SECTION  1  INTRODUCTION 

A 

ANNEX  A 

ISDN  (Integrated  Services Digital  Network)  is an acronym describing  the  provision  of a wide range of  existing 
and  new  telecommunications  services  over  digital  networks,  making  them  available  to  customers  through  a 
standardised single access point. 

ISDN  removes  the  barriers between  speech, data, text and video  services,  integrating  them into a single  digital 
telecommunications  network. The  provision  of end-to-end digital  connectivity  guarantees high-quality  network 
performance to customers. 

ISDN provides significant  benefits to the customer in terms of availability of services and usage flexibility.  Cost 
effectiveness  due  to  more  efficient  utilisation  of  telecommunications  facilities  arc  an  added  benefit  from  a 
customer's  point of  view. 

ISDN offers  a range of services particularly suitable for emerging  new (customer) applications.  In particular the 
business  worid  can  benefit  from  the  increased  speed  of  ISDN  connectivity  and  conformity  to  international 
standards. 

Conformity  to international  standards  will  guarantee  die  use of  compatible  equipment  and terminals  and  make 
international interconnection possible in an easy and economical matter. 

The  introduction of  ISDN is carried out in such a way as to ensure that it coexists  and interworks with  existing 
dedicated  networks, and that ISDN terminals will communicate with non-ISDN terminals. 

ISDN can therefore be seen as a most attractive and powerful tool available to the business community worldwide. 

SECTION 2  TERMS AND  DEFINITIONS 

This section provides definitions  for a number of terms used in section 3. 
ISDN  = Integrated Services  Digital Network 
PSTN  = Public Switched Telephone Network 
PSPDN  = Packet Switched  Public Data Network 

CHANNELS 

Two types of channel  arc defined  in the ISDN: 
a)  The  B-channcl  is  a communication  channel  used to support  the  transmission  of  voice  data  or  image  with a 

capacity  of 64 kbil/s. 

b)  The  D-channel  is a signalling channel used for the establishment of  B-channel  links. The D-channel can also 

be used for the transmission of user data. 

ACCESS TO THE  NETWORK 

There are two types of access to the ISDN network: 
a)  Basic access with two B-channels and one D-channel of  16 kbit/s. It can support up to eight terminal devices. 

Therefore  it is suitable for small business units and the residential  market (see Figure  1). 

Figura 1: 

EXAMPLE OF A BASIC ACCESS 
CONFIGURATION 

PC 

X.25 terminal 

FAX 3 

maximum  of 
8  connected 
terminal 

Analog  telephones 

Si\ 

"»g£ 

Digital ISDN 
telephone 

^liMiWtB^ 

ISDN  data 
t e r m i n al 

^ , ^# 

FAX  4 

NT  r 

Network  Termination 

TA  = 

Terminal Adaptor  (to  conrvacl n on  - ISDN 

tormina!) 

TERMS  AND DEFINITIONS  (continued) 

b)  Primary access  with  thirty B-channels and one D-channel  at 64 kbit/s. Suitable  for larger business  units with 

complex  equipment such as large PABX's, host computers and LAN's (Figure 2). ^ 

Figura 2: 

TYPES OF  ACCESS 

BASIC ACCESS 

Channels 

.  inmmm 

B - 64  kbit/s  (communication) 

5 I | § | | || 

B-  64  kbit/s  (communication) 

Mil 
mm 

D-  16  kbit/s  (signalling) 

PRIMARY ACCESS 

Bi -  64  kbit/s 

(communication) 

BM  - 64  kbit/s  (communication) 

D  - 64  kbit/s  (signalling) 

Note: the wiring  is not  considered in this figure. 

TYPES  OF  INTERFACE  (or  REFERENCE  POINTS) 

Interfaces  are  defined  us  the  points  at  w h i ch  dissimilar  (or  s i m i l a r)  equipment  or  functions  are  interconnected. 

In  I S DN  different  reference  points  are  defined.  For  the  user,  these  reference  points  are  the  S  and  T  interlaces  in 
the  case  where  I S DN  terminal  equipment  is  used. T h is  eliminates  the  need  for  equipment  such  a^  modems  and  key 
^ei  controllers. 

TERMS AND DEFINITIONS  (continued) 

It is possible to connect non-ISDN terminals to the ISDN network using terminal adapters. In this case the interface 
for the user is the R interface  (sec Figure 3). 

Figure 3: 

Types of user  interface 

TA  s  Terminal Adapter 
NT 1  s  ISDN Natworfc laminating  Equipmant (OCE) 
NT 2  s  Switdhing Equipmant. ie. ISPBX (OTE) 

R  = Interface  between a non-ISDN terminal and the terminal adapter. 
=  Interface  between an ISDN device and the network termination. 
S 
=  Interface  between an ISDN network termination and the network. 
T 

In the case of  an ISDN non-swiiching device  the S and T interfaces  are the same. 

NT  =  Represents  the  physical  point  at  which  the  ISDN  configuration  on  the  user's  premises  connects  to  the 

network. 

TERMS  AND DEFINITIONS  (continued) 

r 

ISDN  SERVICES 

ISDN services are divided into two main categories (sec Figure 4). 

a)  Bearer services 

These arc transport  services where the information  delivered  by the network  is transferred  without  alteration or 
addition. Issues related to format or presentation of information are not predefined. In other words, the information 
is transported between  network terminations (NT) in a transparent mode. 

b) Teleservices 

A teleservice  is a service as defined  by the terminal equipment functionality.  A teleservice  always  uses a bearer 
service. When a user selects a teleservice the network will  provide the appropriate bearer service. 

Figure 4: 

Types of services 

BEARER  SERVICES 

TELESERVICES 

NT  =  Natworfc  Termination 

6 

TERMS AND  DEFINITIONS  (continued) 

Supplementary  services 
Supplementary  services arc additional  facilities  offered  by the ISDN network  in conjunction  wiih cither bearer or 
tclcscrviccs. Consequently  they cannot  be offered  to a user as stand-alone  services. Some supplementary  services 
in the  ISDN  arc suitable  for  non-voice  communication  and  some only  suitable  for  voice communication.  It is up 
to the user to choose the appropriate set of supplementary services to suit the application  in question  (sec Figure 5). 

Figure S: 

ISDN Reference  Model 

APPLICATION 

TELESERVICES 

SUPPLEMENTARY 
SERVICES 

BEARER SERVICES 

Public Switched 
Telephone  Network 

Packet Switched 
Public Data  Network 

In Ubereinstimmung mit der Richtlinie 90/388/EWG kônnen ISDN-Dienste auch 
durch andere Betreiber, als die ôffentUchen Netzbetreiber, angeboten werden. Die 
Mitgliedstaaten kônnen jedoch, bis zu  einem Datum das derzeit diskutiert wird, diesen 
anderen Betreibern das kommerzielle Anbieten des offentlichen Telefondienstes 
untersagen. 

TERMS  AND DEFINITIONS (continued) 

3-

Inter/working 

ISDN users can communicate with users of other existing networks, e.g. the Public Switched Telephone Network, 
the Packet Switched  Public Data Network, etc. through interworking  functions  provided by the network. 

Intercommunication 

Non-ISDN terminal equipment can be connected to the ISDN by means of a terminal adapter and may intercommu 
nicate with compatible terminals connected to existing networks. In this case, the user has to select the appropriate 
bearer service, e.g.  Telefax  Group 3. On the terminal adapter he then selects  the 64 kbit/s bearer service  usable 
for 3.1  kHz audio information transfer (see Figure 6). 

Figure 6: 

Intercommunication: e.g. telefax  gr. 3 

3.1 kHz bearer service. 

TA 
s Terminal Adapter 
IWU  = Interworking unit 
PSTN  s Public SwrtdUd Telephone Ntworfc 

$ 

TERMS AND DEFINITIONS  (continued) 

The  possibilities  of  intercommunication  between  ISDN telcscrviccs and  PSTN  services are  shown  in  Figure 7. 

Figure 7: 

INTERCOMMUNICATION 
BETWEEN  ISDN AND  PSTN 
TELESERVICES 

\ F R OM 

T O \^ 

** 

N 
X 
* 
w 
m 

H 
4 
N 

T«|e-
servie* 

Tel. 3.1  KHz 

ISDN 

X 
« 
2 

X « 
« 
5 

X 
2 

N 
X 

X 

2 

c 
o 
tî 
« 
r? 

>> 

il 

> • •» 

PSTN 
« 
S 
« 
•2 

2 

"O 

X 

1 

• 

• 

• 

• 

• 

Tel. 7 KHz 

Telefax 4 

Télétex 

Videotex 

MHS 

Audio-
graphic 

Teleaction 

Video-
telephony 

Telephone 

• 

• 

FAX 3 

Videotex 

m 

m 

• 

• 

• 

• 

• 

• 

• 

m 
m 

• 

• 

m 

• 

• 

• 

• 

• 

• 

• 

• 

m 

m 

• 

• 

• 

m 
m 

m 

* 

m 

• 

m 

• 

Net 
work 

I 
S 
D 
N 

P 
S 
T 
N 

MHS  =  Message  Handling  Service 
ISDN  s  Integrated  Services  Digital  Network 
PSTN  s  Public  Switched Telephone  Network 

Audiographic = Audiographic  teleconferencing 

TERMS  AND DEFINITIONS  (continued) 

> 

Communication  modes 

ISDN offers  two communication  modes, circuit  mode and packet mode. The services offered  on the B-channcl are 
in  circuit  mode  (one  channel  allocated  for  each  communication).  Packet  services  are  offered  on  the  D-channel 
(several  communications  on the some  physical  circuit). They can  also  be offered  over a  B-channcl  using  packet 
handling  interfaces  (see  Figure 8). 

R9U'8 
CASE  A-
minimum  integration 

PACKET  C O M M U N I C A T I ON  M O DE 

DTE - Oat* Terminal  Equipment 
PH 
-Packet  Handler 
X 25  - access protocol 
X.75 - linkage protocol between I 
IWU • Interworking  unit 
for interworking wHh areas not covered 
by  ISDN 
PSPDN -  Packet Swhchtd Public Data Network 

CASE A - ISON acts as a transparent connection to a  PSPDN port, using 8  channel and 44 kbtt/s unrestricted boarar. 
CASE •  • ISDN provides a number of  Packet Handlers, accessible via the 8 or D channels, enabling  switching  between 

)C2S DTE*s connected to ISDN accesses. Interworking with PSPDN b ensured. 

A*> 

ANNEX  B 

U s e r / n e t w o rk 
interfaces: 

I n t e r n a t i o n al 
I n t e r f a c e: 

Bearer 
Services (BS): 

Supplementary 
Services: 

Basic  R a le  Access  ( B R A) 
P r i m a ry  R a te  Access  ( P R A) 

ISDN User Part, Version 1 

Circuit mode 641cbit/s unrestricted BS 
Circuit mode 3.1kHz audio BS 

Calling Line Identification  Presentation 
Calling Line Identification  Restriction 
Direct Dialling In 
Multiple Subscriber Number 
Tenninal Portability 

Tele-
Services: 

the ISDN includes capabilities to support a 
number of teleservices 

Tabic 1: Scope of EURO-ISDN 

Remarks: 

The  notion  EURO-ISDN  refers  to  the  implementation  of  ISDN  as  it  is  described  in  a 
memorandum  of  understanding  from  April  1989,  signed  by  26  public  network  operators  from 
20  European  countries. 

The  implementation  of  EURO-ISDN  will  be  based  on  harmonised  standards  prepared  by  ETSI 
which  are  summarised  in  the  ETSI  Technical  Report  No.  10  (ETR  10);  ETR  10  can  be 
obtained  from  the  ETSI  Secretariat. 

M 

ANNEX C  Summary of Euro ISDN availability 

NOTES ON MAPS AND TABLES: 

1)  The  %  of  territorial  coverage  of  EURO-ISDN  is  defined  in  this  context 
as:  areas  (  of  an  administrative  region)  where  BRI.  fully  conformant  with 
ETS  300.153,  and  PRI  fully  conformant  with  ETS  300.156,  are  available. 
This  means  that  existing  national  ISDN  offerings,  where  the  user  network 
interfaces  are  not  fully  in  line  with  these  ETSs,  are  no±_considered  here. 

2)  The  definition  of  "coverage  is:  The  %  of  an  administrative  region  where 
EURO-ISDN  is  available,  at  year  end,  either  by  direct  connection  to  a  local 
switch  which  is  equipped  with  EURO-ISDN  BRI  or  PRI,  or  where  a  local 
network  area  has  access  to  EURO-ISDN  BRI  and  PRI  by  means  of  remote 
access  (if  offered  on  a  regular  basis). 

3)  As  each  country  is  organised  somewhat  differently,  and  information 
was  not  always  presented  in  the  same  manner,  for  the  determination  of  an 
appropriate  scale  or  granularity  the  editors  have  had  to  scale  the 
percentages  rather  broadly. 

4)  As  each  country  provided  information  in  a  slightly  different  manner, 
the  shadings  are  map  specific. 

%  COVERAGE  EURO-ISDN  BRI PER YEAR 

BELGIUM 

DENMARK 

FRANCE 

(3) 

GERMANY 

GREECE 

IRELAND 

ITALY 

( i) 

LUXEMBOURG 

NETHERLANDS 

PORTUGAL 

new Lander 

old Lander 

TP 

TLP 

SPAIN 

UK 

BT 

MERCURY 

(2) 

(1)  NO DISTINCTION  IS PROVIDED  BETWEEN B-ISDN AND P-ISDN 
(2)  NO INFORMATION  PROVIDED 
(3)  THIS  INFORMATION  IS VALID  ONLY  IF CURRENT REGULATION  IS UNCHANGED 

COVERAGE 

<= 1 0 % 

<= 20 % 

<= 40 % 

<= 6 0% 

<= 80 % 

<= 100% 

v3 

%  COVERAGE  EURO-ISDN  PRI PER YEAR 

BELGIUM 

DENMARK 

FRANCE 

(3) 

GERMANY 

GREECE 

IRELAND 

ITALY 

( 1) 

LUXEMBOURG 

NETHERLANDS' 

PORTUGAL 

new Lander 

old Lander 

TP 

TLP 

SPAIN 

UK 

BT 

MERCURY 

(2) 

)  NO DISTINCTION  IS PROVIDED  BETWEEN. B-ISDN AND  P-ISDN 
•  NO INFORMATION  PROVIDED 
•  'HIS  INFORMATION  IS VALID  ONLY  IF CURRENT  REGULATION  IS UNCHANGED 

COVERAGE 

<= 10 % 

<= 20 % 

<= 40 % 

<= 6 0% 

<= 80 % 

<= 100% 

JE 

AÇ 

ANNEX D  %territorial coverage of Euro ISDN 

per country / Operator 

%  GEC^RAPHIC®^EBffli 

BELGIUM 

DENMARK 

FRANCE 

GERMANY 

GREECE 

IRELAND 

ITALY 

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100 

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- 

LUXEMBOURG 

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NETHERLANDS 

'30  cities 

PORTUGAL 

'}  ;  ^ 

TP 
TLP 

50 
10 

90 

100 

10 

100 
20 

8 

20 

CITY 

100 
40 

20 

SPAIN 

U.K. 

-  V  >  % 

MERCURY 

40 

100 

100 

100 

90 

100 
60 

100 

100 

100 

100 
100 

'2  Provinces 

7  Provinces 

100 

100 

100 

100 
100 

50 

100 

100 

100 

100 
100 

45 

100 

100 

100 

100 
100 

80 

100 

100 

100 

40 

70 

100 

70 

100 
50 

40 

100 

GEOGRAPHICAL  COVERAGE  EURO-ISDN BR11992 

TT 

Coverage 

<=10% 

<=20% 

<=40% 

<=60% 

'A 

<=80% 

<=100% 

Vf 

47. • 

GEOGRAPHICAL COVERAGE EURO-ISDN BRI 1993 

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Coverage 

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> 

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Coverage 

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s 

GEOGRAPHICAL  COVERAGE  EURO-ISDN BR11996 

S 

Coverage 

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V> 

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GEOGRAPHICAL COVERAGE EURO-ISDN PRI 1992 

GEOGRAPHICAL  COVERAGE  EURO-ISDN PR11993 

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GEOGRAPHICAL COVERAGE EURO-ISDN PR11996 

Coverage 

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A 

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£ 

T U R OF  E'URO-ISON  I N T E R N A T I O N AL  I N T E R C O N N E C T I ON  P U N N ED  WITH MEMBER STATES (ISUP V1). 

to: 

BELGIUM 

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1993/94 

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ITALY 

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ISSN 0254-1475 

COM(93) 347 final 

DOCUMENTS 

EN 

15 

Catalogue number : CB-CO-93-380-EN-C 

ISBN 92-77-58069-0 

Office for Official Publications of the European Communities 
1^2985 Luxembourg