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Communications sector was once "more vibrant", says minister
The Minister of Infrastructure said today that the communications sector was once "more effervescent", that it has "crushed margins" and defended the need to find new ways to strengthen the remuneration of those who invest in the area.
© André Luís Alves / Global Imagens
Economia Comunicações
Miguel Pinto Luz spoke at the closing of the 33rd APDC Congress, which this year took place under the motto "40 year futurizing", in Lisbon.
"It was a more dynamic sector than it is today, to be mild it is a sector that today has crushed margins, where the regulatory and competition architecture greatly limits action", the government official continued.
"It is a sector that has suffered successive disruptions with the introduction of new 'players' [operators] in the market, of new forms of use of the infrastructure itself, it is a sector that requires successive cycles of capital-intensive investment", he admitted.
In order for "us to lead the next development cycles we need to find new ways to give robustness to the capital remuneration that we currently offer to those who invest in this sector, let's have no doubts about it", he stressed.
During the State of the Nation of Communications debate, the executive presidents of Altice Portugal, Ana Figueiredo, NOS, Miguel Almeida, and Vodafone Portugal, Luís Lopes, addressed the lack of return on capital in the sector and the issue of consolidation.
The minister stated that Europe has a "culture of small and medium-sized companies", adding that it is necessary to bring issues such as AI to the European agenda and admits that he is already working on how Europe could distribute tax collection.
Miguel Pinto Luz also defends that Artificial Intelligence and Quantum Computing are strategic areas, adding that it is necessary to "implement a new development model for Europe".
The government official reiterated that it is necessary to "create wealth to distribute wealth", also stating that it is necessary to have "large companies" in Europe, otherwise it will not be possible to sustain the welfare state.
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