Communication from the Commission to the European Parliament, the Council, the Economic and Social Committee and the Committee of the Regions on the overall evaluation of a set of guidelines for the development of the Euro-ISDN (Integrated Services Digital Network) as a Trans-European Network (TEN-ISDN)
Date: 2000-05-08
Institutions: European Commission
Subjects: financial aid, project evaluation, telecommunications, trans-European network, transmission network

COMMISSION OF THE EUROPEAN COMMUNITIES

Brussels, 08.05.2000
COM(2000) 267 final

COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN
PARLIAMENT, THE COUNCIL, THE ECONOMIC AND SOCIAL COMMITTEE
AND THE COMMITTEE OF THE REGIONS

ON THE OVERALL EVALUATION OF A SET OF GUIDELINES FOR THE DEVELOPMENT OF
THE EURO-ISDN (INTEGRATED SERVICES DIGITAL NETWORK) AS A TRANS-EUROPEAN
NETWORK (TEN-ISDN)

COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN
PARLIAMENT, THE COUNCIL, THE ECONOMIC AND SOCIAL COMMITTEE
AND THE COMMITTEE OF THE REGIONS

ON THE OVERALL EVALUATION OF A SET OF GUIDELINES FOR THE DEVELOPMENT OF
THE EURO-ISDN (INTEGRATED SERVICES DIGITAL NETWORK) AS A TRANS-EUROPEAN
NETWORK (TEN-ISDN)

1.

INTRODUCTION

The Decision N° 2717/95/EC of the European Parliament and of the Council of 9 November
1995 on a set of guidelines for the development of the Euro-ISDN (Integrated Services Digital
networks) as a trans-European network1 requires in its Article 10 that “the Commission shall
carry out an overall evaluation of the guidelines defined in this Decision in the light of any
change in the rules applicable to Euro-ISDN”.

Two studies have been undertaken to address this requirement:

–

–

a study on the status of Euro-ISDN in the European Union in 1997-1998 completed
in June 1998, and

an intermediate evaluation of
trans-European
telecommunications networks undertaken during the period 1993-1997 within the
framework of the Euro-ISDN guidelines, completed in November 1998.

the action of development of

The summary results of these reports together with the overall Commission conclusions are
stated herein. The text of the full reports is available on request at the Commission services.

2.

SUMMARY RESULTS OF THE INTERMEDIATE EVALUATION 1993-1997

This evaluation of the action of development of trans-European telecommunications networks
covers the period 1993-1997. It primarily addresses preparatory studies between 1993 and
1995, then feasibility studies for projects within the framework of the adoption of the Euro-
ISDN guidelines from 1995 to 1997, with Community aid granted under the TEN Financial
Regulation2. The evaluation focuses on two major areas: the impact of Community support in
achieving the objectives of the Euro-ISDN guidelines, and the manner in which the action has
been carried out, i.e. the implementation and management system put in place. The key
findings and recommendations are the following:

1.

Design specification of the action

A clear, although complex, structure was in operation to create the design
specification of the action. In particular the use at early stage of a consultation
document to ensure industry and public consultation is seen as a very positive
outcome from the experience of Euro-ISDN. It anticipates the definition of the future

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2

OJ L 282, 24.11.1995, p.16.
Council Regulation (EC) N° 2236/95 of 18 September 1995 laying down general rules for the granting
of Community financial aid in the field of trans-European Networks (OJ L 228, 23.9.1995, p.1).

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TEN-Telecom work programme, ensuring timeliness and market relevance of TEN
interventions, and introducing the necessary element of flexibility in the design
process.

2.

Indicators to be defined and monitored to assess the fulfilment of the guidelines
objectives

The guidelines objectives for developing a range of services based on ISDN has been
well met, most of the areas being addressed by studies and/or projects during the
period. However, the requirement in respect of access for peripheral regions would
have needed further consideration. It is recommended that quantitative, outcome-
related indicators be defined and monitored for each of the strategic and operational
objectives of the action. Success criteria should be identified and assessed in relation
with the guidelines objectives.

3.

Project outcomes

Reference is made to the fulfilment of proposal objectives, sustainability of the
action, trigger economic effect and cross sector coverage. It is recommended that a
consolidated record of investment decisions be created and that the continuation of
the activities be monitored on an annual basis. A survey of both direct continuation
by one or several partners and indirect triggered activity should be undertaken at
suitable intervals after the end of the project.

4.

Calls for proposals preparation and appraisal of bids

Unlike in the transport or energy sectors, the TEN actions in the telecommunication
sector, rely on the use of calls for proposals and depend on market responsiveness
targeting the right audience, providing
and quality of bids received. Thus,
guidelines
comprehensive
key
evaluation
packages
requirements. During the course of the action, significant
improvements in this
process are visible year by year.

information

and

are

5.

Projects monitoring and review

The TEN Financial Regulations requires that both during implementation and after
completion the Commission and the Member States should evaluate the projects, in
terms of the manner they have been carried out, the fulfilment of original objectives,
and the impact of their implementation. Some improvements in the monitoring
process (e.g. stringent delivery dates and related payments), and review (e.g. more
frequent light reviews) are recommended.

6.

Consortia commitment

Consortia management capabilities and sincerity of
particularly with reference to:

intent should be insured

–

–

sound partnership of public and private entities with proven experience in the
field and significant SME participation;

full corporate support for the proposal; inter-partner contractual agreements for
cost-sharing and revenue-sharing in complex multinational networks;

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–

trans-European character of the proposal primarily in the sense of a trans-
national consortium carrying out a validation which addresses common needs
in several Member States.

7.

Dissemination and support actions

Significant use will be made of Internet tools to promote dissemination and co-
ordination of projects. Highlight of exemplary projects and sectors overviews will be
produced on a regular basis.

The evaluation concludes that the studies and projects supported referred to the list of projects
of common interest of the Euro-ISDN guidelines. This list is a soundly based overview of
issues of importance at that time, created by a process, which is transparent and allows wide
external
is fulfilled completely and the uptake of Euro-ISDN is appreciably
enhanced, making a large and necessary contribution to the creation of the TEN-Telecom
action. All the projects supported contribute materially to the achievement of the guidelines
objectives and meet the requirements of the TEN Financial Regulations; the choice of
activities for support is conducted in a fair and transparent way.

input. It

The promotion of Euro-ISDN based services for SMEs has been a significant feature of the
action, producing several good projects with clear benefits. Emphasis was put on the SME
tourism sector, and on support actions for the implementation of a pan-European ISDN
network providing interoperability of services, in particular to the benefit of SMEs.

Overall the programme has overcome some initial difficulties to provide a strong, well-
structured and well-controlled activity. Many of the recommendations of the evaluation tend
to endorse existing vectors of change within the programme: the issue of moving to a more
outcome oriented approach leading to market deployment of projects, going beyond the
earlier phases of continuous improvement of management processes.

3.

STATUS AND VALIDITY OF CURRENT EURO-ISDN GUIDELINES

A report was commissioned to examine the status of Euro-ISDN in the Member States of the
Union at the end of 1997, and the validity of the Euro-ISDN guidelines.

The main outputs are the following:

1.

Status of Euro-ISDN in the Union

Euro-ISDN penetration exceeds 5% of telephone lines in at least 8 of the Member
States. Most countries have seen the demand double each year since 1995. There is a
wide variance in the degree of penetration in the Member States, largely due to the
marketing policy of the incumbent network operator. Growth of ISDN connections is
expected to continue with major applications being Internet access, together with
voice communications among business users. ISDN prices for services and terminal
equipment have fallen significantly and continue to fall. The European industry is
well positioned, both as far as switch vendors and terminal vendors are concerned.

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2.

Issues for improvements

Whilst the obstacles to the deployment of Euro-ISDN in Member States have been
largely overcome, there are still some issues to be resolved to varying degree. These
are:

–

–

–

–

Availability of “plug and play applications”,
interoperability among ISDN
networks, among terminal equipment (end to end interoperability) and between
ISDN and other networks (GSM, ATM, frame relay, cable networks, ADSL),

More balanced geographical coverage

Awareness
friendliness”,

among SMEs

and residential users

and improved “user

Full exploitation of Euro-ISDN potential, in particular in relation with its
interoperation with data networks, or the definition of a clear migration path
from Euro-ISDN to broadband.

3.

Overall validity of the guidelines and recommendations

Euro-ISDN has been a driving force for further digitalisation of telephone networks.
It has helped transform the European telecommunications map and has been an
important building block on the way to an information society.

The Community support of the evolution and expansion of Euro-ISDN within the
Union has been a success. Most relevant articles of the guidelines have been
achieved. Those which have not been achieved, or only partially achieved are either
no longer relevant within the present context, or can be fully integrated within the
TEN-Telecom guidelines with some specific measures. These measures cover:

–

–

–

–

awareness activities,

interoperability issues,

exploitation of the full technical potential of Euro-ISDN,

support to European industry outside the Union.

4.

1.

2.

OVERALL COMMISSION CONCLUSIONS

Euro-ISDN is a European success story,
joint efforts by the
telecommunications operators and standardisation bodies with the Community
support to a universal ISDN service across the Union. It remains a buoyant market
where the European industry is well positioned, both as far as switch vendors and
terminal vendors are concerned.

resulting of

Promotion of Euro-ISDN has been an important step forward on the way to an
information society. The list of projects of common interest
in the Euro-ISDN
guidelines was a soundly based overview of topics of importance at that time, created
in a process which was transparent and allowed wide external input. It was well

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3.

4.

5.

addressed and the uptake of Euro-ISDN was appreciably enhanced in the Union.
Euro-ISDN has made a large and necessary contribution to the creation of the TEN-
Telecom action, which covers a considerably wider scope and updates the action in
response to changes in technology and markets.

The Euro-ISDN guidelines implementation and management process has been a key
experience for future TEN-Telecom actions. The design specification of the action,
the call for proposals preparation and appraisal of bids, the project monitoring and
review process and the initial definition of co-ordination and dissemination actions,
have been a valuable heritage for the further elaboration of TEN-Telecom activities.

Taking into account technological and regulatory changes in the telecommunications
sector, while building on the experience of TEN-ISDN, TEN-Telecom adopts a users
point of view and hence a multi-network approach, integrating, when necessary, the
fixed and mobile components of networks. It enlarges the scope of the actions along
the following lines:

–

–

–

neutrality towards the technical platform over which services are delivered,

alignment with major technological and market trends, namely interconnection
of communication infrastructures, confirmation of TCP/IP Internet protocol as
network technology integrator, increased requirement for global multimedia
services delivered over fixed and mobile networks,

support for applications and services in areas of general
interest, making
intensive use of trans-European networks, with high social and trans-European
character, and based on sound business models capable to mobilise public and
private financing for future deployment.

The Community intervention in support of the evolution and expansion of Euro-
ISDN in the Union has fulfilled its aims, and the maturity of ISDN is such that the
market forces can now take over. Since ISDN is an active niche market, well
supported by the European industry, and since the Community action should be, as
far as possible, “technologically neutral” in the future, as described above, there is no
need to pursue a specific action on a particular network, which can be fully
integrated within the overall TEN-Telecom guidelines.

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