Recent data from the Communications Guarantee Authority (AGCOM) e of the Osservatorio Innovazione Digitale nelle PMI (Digital Innovation in SMEs Observatory) of the School of Management of the Politecnico di Milano have shown a significant discrepancy in fiber optic FTTH (Fiber To The Home) coverage between Italian small and medium-sized enterprises (SMEs) and private homes. While 59.6 percent of Italian households have FTTH connections, only 49 percent of SMEs can boast the same connection quality.
Regional disparities in FTTH coverage
The spatial analysis reveals significant differences in fiber deployment among Italian regions. Lombardy emerges as the region with the highest coverage, followed by Lazio, Campania, Liguria and Molise. In contrast, regions such as Veneto and Emilia-Romagna, home to 11 percent and 9 percent of national SMEs respectively, show insufficient coverage.
At the provincial level, Prato leads the ranking with 82 percent of SMEs served by FTTH connections, followed by Milan (76 percent) and Trieste (73 percent). Interestingly, cities such as Palermo, Cagliari, Rome and Naples are among the top 10 provinces for coverage, while Bolzano records the lowest percentage, with only 46 percent of SMEs reached by fiber.
Sectoral implications of connectivity
The availability of FTTH connections also varies by economic sector. The financial, ICT and professional services sectors enjoy above-average coverage, with 68 percent of SMEs connected and only 7 percent operating at speeds below 30 Mbit/s. In contrast, sectors such as agriculture and mining suffer from limited connectivity, negatively affecting their competitiveness and ability to innovate.
The role of European regulations and the switching off of copper
A crucial aspect in the digital transition of SMEs is the phase-out of the copper network, promoted by the European Union to encourage the development of more modern and efficient infrastructure. The European Commission has set clear targets for the phase-out of old networks, with the aim of ensuring that all European businesses can benefit from ultrawideband connectivity by 2030. Against this backdrop, SMEs must prepare to adopt fiber-optic solutions to avoid disruption and to make the most of the opportunities offered by digitization.
The phasing out of the copper network requires telecom operators to accelerate investment in fiber, especially in industrial and manufacturing areas. For SMEs, this means not only improving their operational performance, but also ensuring business continuity by reducing the risk of technological obsolescence.
Initiatives such as the new AGCOM Broadband Map., which incorporates specific data on SME connectivity, are essential tools for monitoring progress while planning effective interventions.
Widespread and reliable FTTH connectivity is crucial for Italian SMEs because it enables the adoption of advanced technologies and improves competitiveness in the global marketplace. Bridging the digital divide, however, is not only an infrastructure issue that benefits the country’s economy, but also a strategic investment by each individual company for its future.