Liberty Global chief executive Mike Fries has sharply criticised the European Union’s regulatory approach to the telecoms sector, accusing Brussels of failing to act on key recommendations intended to boost the industry’s competitiveness and enable large-scale investment.
Speaking at an industry conference on Wednesday, Fries said the EU had effectively kept its “foot on [the industry’s] neck for 20 years”, arguing that telecoms operators — despite being essential infrastructure — continue to face regulatory barriers that prevent them from scaling and modernising.
Frustration Over Inaction on Draghi’s Recommendations
Fries’ comments focused heavily on the EU’s lack of progress on the 2024 Mario Draghi report, which warned that Europe risks falling further behind the US and China unless it reforms policies around spectrum management, merger controls, and industrial strategy.
“The EU has done nothing really about the Draghi report… around spectrum, merger controls, prioritising growth,” Fries said. “These are things where they haven’t really done anything tangible.”
Draghi’s report urged the EU to allow greater consolidation within the telecoms sector to help operators pool resources and invest in next-generation infrastructure, including 5G and eventually 6G networks.
Industry Push for Consolidation
Liberty Global — which co-owns Virgin Media O2 in the UK, VodafoneZiggo in the Netherlands, and fully owns Belgian operator Telenet — is one of several telecom companies calling for looser merger rules. Executives argue that consolidation would enable larger, more resilient operators capable of competing with global rivals and funding costly network upgrades.
Earlier this year, Telefónica chair Marc Murtra warned that Europe’s global influence would “continue to dwindle” without regulatory reform, while Deutsche Telekom CEO Tim Höttges called for a “European Doge” to cut through bureaucratic obstacles.
Brussels’ Cautious Approach
Historically, the European Commission has resisted telecoms mergers over concerns that reduced competition would raise prices and weaken consumer protections. However, Draghi’s findings prompted Brussels to open a review of its merger framework, with results expected in 2027.
Commission president Ursula von der Leyen has instructed competition chief Teresa Ribera to accelerate work on the reforms, though no concrete changes have yet been introduced.
Delays to Digital Networks Act Raise Concerns
Fries pointed to the delayed publication of the proposed Digital Networks Act (DNA) — intended to modernise EU telecoms regulations and support faster rollout of next-generation networks — as further evidence of the EU’s slow pace.
“I think we have to raise the temperature in Brussels,” he said, urging policymakers to prioritise regulatory reform. Liberty Global declined further comment.
EU officials, meanwhile, say discussions are ongoing regarding the scope of the DNA, which is expected to serve as a roadmap for the deployment of 5G, 6G, and future digital infrastructure across the bloc.
