Unique project in Germany: BBH provides assistance in cooperation project of Stadtwerke Ludwigsburg-Kornwestheim and Deutsche Telekom in the fibre-optic expansion

Thanks to a cooperation between the municipal utility Stadtwerke Ludwigsburg-Kornwestheim (SWLB) and Deutsche Telekom, the citizens of Ludwigsburg will not only get high-speed internet, but also a wide choice of network providers. The aim of the cooperation, in which Becker Büttner Held (BBH) assisted the municipal utility, is the full expansion of the fibre-optic network into buildings (“fibre to the home”, FTTH) with the simultaneous leasing of dark fibre.

Stadtwerke Ludwigsburg-Kornwestheim sets up and operates the network and offers innovative telecommunications services such as high-speed internet, IP telephony and IPTV. At the same time, Deutsche Telekom will lease routes of the passive fibre-optic infrastructure in order to be able to offer residential and business customers in Ludwigsburg fast connections and its digital products as well. In addition, Deutsche Telekom will offer the use of Ludwigsburg’s fibre-optic network to other providers on the basis of wholesale agreements.

BBH conducted the contract negotiations that lasted several months with Deutsche Telekom on behalf of SWLB. With its concept of two network operators working alongside each other including network leasing to Telekom, the project is so far unique in Germany and is considered to be a flagship project for municipal utilities. We expect many more municipal utilities in Germany to follow this example. This is because cooperations of this kind will significantly accelerate the nationwide expansion of the fibre-optic network and will make it more efficient.

“This is a win-win situation for municipal utilities, telecommunications companies and last but not least consumers,” says lawyer and BBH partner Axel Kafka, who has been providing comprehensive advice to SWLB in the area of telecommunications (on the development of the business area, network operation, sales and regulatory matters) since 2017.

“Fibre optic is the telecommunications infrastructure of the future and a precondition for smart cities and innovative services to be provided by municipal utilities. The legislator of the Telecommunications Act (Telekommunikationsgesetz – TKG) revised in 2021 has recognised this too. We are delighted to contribute our expertise so as to help shape this development and such comprehensive contracts,” says BBH lawyer and telecommunications expert Julien Wilmes-Horváth.

Over 50 percent of the households and businesses in Ludwigsburg already have superfast internet connections. By the end of 2024, SWLB will have expanded the fast fibre-optic network over the entire urban area connecting a total of approx. 56,000 households and businesses in more than 15,000 buildings. As soon as an expansion area has been fully developed, customers can also book connections and services of Telekom in addition to those provided by SWLB.

Becker Büttner Held is a leading provider of advisory services for energy and infrastructure companies and their customers. Energy and supply companies, particularly public utilities, municipalities and local authorities, industrial companies and international groups are among its core clients. BBH advises these and many other companies and organisations in all legal matters and also assists them with business and strategic advice.

Contact:
Prof. Dr. Ines Zenke                                                  
Lawyer (Rechtsanwältin), Partner
Phone +49 (0)30 611 28 40 - 179                                  
ines.zenke@bbh-online.de                                    

Visit Becker Büttner Held online at www.die-bbh-gruppe.de, www.bbh-blog.de, twitter.com/BBH_online or instagram.com/die_bbh_gruppe.