Local telecom companies Romtelcom and Cosmote Romania will develop the national broadband internet infrastructure in rural areas which aren’t currently covered by such services, under a program called RoNet. The two companies, which are indirectly controlled by German group Deutsche Telekom, were selected after an auction organized by Romania’s Communications’ Ministry.

The auction was organized for 783 villages which were divided into seven groups. Romtelcom won the contract for four of the regions and Cosmote - for the other three.

“Economic and informational opportunities derived from developing a national broadband infrastructure are unlimited. The development of the rural regions which are targeted by this project represent a safe path towards improving life conditions, both locally and nationally,” said Razvan Cotovelea, Romania’s communications’ minister.

The RoNet project is a priority for the Communications ministry. The implementation of the project will be financed with European non-refundable funds worth EUR 84 million. Romtelecom will get EUR 37.2 million for the four zones it will cover and Cosmote Romania will get EUR 27.9 million.

editor@romania-insider.com