Press Release: State aid: Commission approves €45 million aid to increase broadband availability in rural Germany

The European Commission endorsed under the EC Treaty state aid rules additional €45 million aid to foster the availability of widespread and affordable broadband services in the three German Länder of Sachsen, Niedersachsen and Bayern. The support targets areas where such services are currently not available, and complements a €141 million federal scheme approved in July 2008 to help bring broadband to rural areas of Germany. The regional aid schemes are expected to provide additional impetus to increase broadband coverage in these regions. The Commission found the schemes to be compatible with the state aid rules, because state support is foreseen only where the market cannot provide broadband coverage and the distortions of competition brought about by the aid are limited by adequate safeguards.