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42 billion for broadband

Don't let the countryside down!

Today, IT&Telekomföretagen presents a report on broadband expansion in Sweden. It shows that a lot remains to be done to reach the goal of a fully connected Sweden.

In urban areas, almost everyone has access to fast broadband. But only four out of ten households in rural areas have the same. This difference is unacceptable and creates digital divides between rural and urban areas.

The greatest danger is that all municipalities and regions around the country will not be able to use the digital services that the public sector is now rapidly developing. In the long term, this will mean that some municipalities and regions will not be able to use the digital infrastructure to manage future welfare. This means that people and businesses in rural areas will not develop like society as a whole.

The government's broadband strategy risks becoming a magic trick with numbers

The government's target is for 95% of all households and businesses to have access to 100 Mbit/s by 2020. This may sound good - from a national perspective. But if you scratch the surface, it is clear that sparsely populated areas risk being disadvantaged. The broadband target can be achieved if only 46% of households and businesses in sparsely populated areas are covered. We are convinced that "everyone should be included" and that efforts must be strengthened accordingly.

No single party can do this on its own. Instead, a joint challenge lies ahead, where market players and public authorities must share the responsibility. Our member companies have and will continue to invest large amounts in broadband deployment. But the state must also help.

Broadband rollout is not complete

It must be easier to expand broadband, for example by simplifying licensing processes. In addition, more support funds need to be allocated in future budgets. The SEK 100 million allocated by the government in this year's spring amending budget is far from sufficient. The sum should also be seen in the light of the fact that an expansion of fiber to everyone who currently lacks 100 Mbit/s would cost SEK 42 billion, of which SEK 21 billion is needed in rural areas. It also needs to be put in relation to the 700 billion that the government has announced for the development of other transport systems.

It goes without saying that roads, railways and shipping are essential infrastructure for society, and broadband should be an equally obvious infrastructure for creating a sustainable society with growth. It is not a question of either/or, but of both.

The truth is that broadband deployment in Sweden is not complete. It is not enough to urge the industry to increase the pace. The government needs to invest money, not just words, so that everyone in Sweden can get fast and secure broadband.