The board of Telecom Italia SpA has decided not to renew a key mobile tower agreement with Inwit SpA, which is set to expire in August 2030. This move signals a potential shift in its long-term infrastructure strategy. Following a board meeting held on Sunday, the company indicated it might move away from the current structure, which has historically supported a significant portion of Inwit's revenue base. This decision comes as telecom operators across Europe continue to reassess infrastructure spending, with increasing market focus on redirecting capital toward 5G deployment and new network site construction.
This development could introduce uncertainty regarding Inwit's long-term revenue visibility, particularly given its reliance on Telecom Italia SpA and the Fastweb + Vodafone joint venture. French private equity firm Ardian SAS, which holds approximately 32% of Inwit through Daphne 3 SpA, warned in a letter dated March 27 that any early exit from the tower contract could violate the terms under which its investment was made. Although Telecom Italia SpA will not exit the current agreement before its expiry, the non-renewal could still reshape market expectations, especially since the existing contract is estimated to be worth around €2 billion between 2026 and 2030.
Telecom Italia SpA views this decision as part of its ongoing effort to optimize its infrastructure cost base and stated it will immediately begin negotiations with Inwit to develop a multi-year transition plan to ensure operational continuity. The broader context may reinforce this direction, as Fastweb + Vodafone has notified Inwit that it will terminate its master services agreement in March 2028. Taken together, these developments suggest a gradual change in how European telecom operators structure tower agreements, potentially favoring more flexible and cost-effective arrangements while maintaining network stability.
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