Telecom operator Digi has warned that its long-term future in Portugal could be at risk if upcoming spectrum renewals cement the competitive advantages of established mobile incumbents. Executive Director Valentin Popoviciu raised a potential market departure as a possible outcome if Digi cannot secure the low-frequency radio resources needed to expand.(BTN)

The controversy surrounds a draft proposal by Portugal’s national telecommunications regulator, ANACOM, to extend existing spectrum rights held by major incumbent operators MEO, NOS, and Vodafone. Under ANACOM’s plan, key spectrum allocations—estimated to be worth approximately €550 million—would remain locked in place until 2033 or as late as 2041–2042.

At the center of the dispute is low-band spectrum below 1GHz, which is vital for providing deep indoor signal reception and broad geographical coverage. Digi currently holds just 10MHz in these sub-1GHz bands, compared to 50MHz for MEO and 60MHz each for NOS and Vodafone. Digi argues that automatically extending incumbents’ holdings constrains its capacity to compete for decades. The operator advocates instead for awarding expiring rights through competitive auctions featuring spectrum caps, reserved blocks for smaller operators, access to unallocated 700MHz spectrum, and mandated national roaming.

Digi’s stance aligns with warnings issued by Portugal’s competition authority, the Autoridade da Concorrência (AdC). The AdC warned that renewing all expiring rights risks freezing market structure until the 2040s and shielding established players from competitive entry. The antitrust authority recommended reconsidering renewals across several bands, applying shorter terms ending in 2033, and conditioning extensions on stronger network access and spectrum-sharing obligations.

ANACOM defends its draft decision, asserting that a staggered expiration schedule balances long-term investment certainty with future market intervention opportunities in the early 2030s. Meanwhile, Digi submitted an independent economic study estimating that stronger market competition could yield up to €3.5 billion in consumer benefits over 15 years. The spectrum renewal framework remains subject to ANACOM’s final regulatory determination.