The CEO of Telefónica said it is time to allow major European telecom companies to consolidate and grow to build technological capacity
BARCELONA—Spanish telco Telefónica has urged European authorities to enable consolidation in the telecommunications sector, allowing operators to scale up and strengthen their technological capabilities.
During a keynote session at Mobile World Congress (MWC) 2025 in Barcelona, Spain, Telefónica’s Executive Chairman Marc Murtra, said: “It is time to allow major European telecom companies to consolidate and grow to build technological capacity. This step can reinforce European strategic autonomy, unlock productivity and improve people’s lives,” he added.
Murtra acknowledged that such a shift would require telecom operators to adapt, focus on their core strengths and operate efficiently. “But we won’t be the only ones who need to adapt,” he noted. “The European Commission, EU member states, regulators and others must adjust their regulations and objectives to allow technological and telecom consolidation.” Otherwise, he warned, “Europe’s position in the world will continue to decline, and it will lose the ability to determine its own future.”
Murtra highlighted the historic role of the telecommunications sector in driving Europe’s technological progress and stressed the potential of next-generation ultra-broadband networks and cloud-based architectures.
However, he argued that realizing this potential would require economies of scale and capacity to “achieve major breakthroughs in Europe.” He pointed out that “excessive fragmentation in Europe’s technology, media and telecommunications [TMT] sector, overregulation and low profitability have held the region back, leaving it technologically behind.”
During his speech, he also compared Europe’s telecom landscape with that of the U.S., the Middle East and Asia. Murtra noted that those regions have benefited from more favorable conditions, allowing companies to grow to a scale that fosters innovation and technological development. “We can say without hesitation that we are now in a new era where giant tech companies are once again driving rapid change. These giants operate as dominant players in near-monopolistic markets, have deep expertise and are far more capable than they were 20 years ago. All of these companies are based in the United States and China,” he said, underscoring the urgency for Europe to advance in this space.
