Tim Höttges sets his sights on EU competition policy
When the CEOs of the European telecommunications industry came together last week at the Mobile World Congress (MWC) in Barcelona to discuss the challenges facing companies in Europe, the division of tasks was clearly distributed. Telekom CEO Tim Höttges has EU Competition Commissioner Teresa Ribera in his sights. The long-time leader of the company is now ready to advise „the fifth EU Commission“ in his career with his usual strong opinions, and above all to advise Ribera on antitrust policy. He recently signed a contract extension until the end of 2028.
Like Fidel Castro
The 62-year-old will celebrate his 25th anniversary in the management of Deutsche Telekom in September this year, and is still full of energy. „I'm like Fidel Castro, I change the audience, I just keep talking,“ he said recently.
Höttges, who, unlike rivals such as Telefónica, Vodafone or Orange, benefits from the fact that Telekom can rely on a US subsidiary with strong growth and profits, has nevertheless been fighting for better investment conditions in Europe for years. At the moment, it is not clear to him where the industry „should get the excess return for the development of a digital infrastructure,“ complains the manager, who also says that „I would like to invest more in the expansion of data centres.“ At present, such capital allocation is only made via DT Capital Partners funds, where Telekom is an anchor investor.
The Telekom CEO admits that he used to be a technology skeptic. „What's all this about?“ he often asked himself around the turn of the millennium with regard to the Internet. „I've learned a lot since then when it comes to new technologies. Today I probably overvalue them. That's why I'm such a fan of AI.“
Even with the latest software revolution, Höttges is concerned about regulation in the EU. He is critical of politics in Germany. France is beating the drum, collecting investment commitments and asking everyone of international rank and name to come to Paris. „Where is Germany?“ he asks.
The manager is not satisfied with the usage of AI in the Telekom Group. He therefore wants to take the lead in the movement – something he reveals as a focus for his extended mandate.
The last construction site
Höttges is once again targeting Telekom's last major construction site, T-Systems, which has been running at a loss for years. For ongoing success, he is relying more than ever on the USA, where Donald Trump's new term in office promises only good things: In any case, no tax increases and possible relief for M&A, so that T-Mobile can complete its announced takeovers to build up its fixed business.
When it comes to „developing the management team“, Höttges does not have his successor directly in mind. He said he was „very happy“ that Germany boss Srini Gopalan had „received an offer“ from T-Mobile US. If the Telekom boss, who is currently in his twelfth year at the helm, fulfils his contract, another successor will have to be sought in 2028. Gopalan is one of the favouries.