End of 28 years of history: Telefónica will no longer be responsible for providing public telecommunications services

From January 1, 2027, Telefónica will not be the operator obliged to provide universal telecommunications services, the minimum landline and internet that anyone can request, regardless of where they live. This is provided in the draft order of the Ministry of Digital Transformation and Public Services. The text went to public hearings on October 7, 2026, ending a 28-year history with this order.

Almost three decades of Telefonica. Universal service began in Spain in December 1998 with the liberalization of telecommunications, and Telefónica has been burdened by it ever since, as noted in a document by the former Telecommunications Market Commission. At first it revolved around landline telephone lines, but as of January 1, 2012, it also has a 1 Mbps Internet connection, according to the same document.

A wide band with little tension. But this universal broadband was never very popular due to its download limit and speed anchored at 1 Mbps until 2022, among other things. That year, the General Telecommunications Act moved to a minimum of 10 Mbps, which is still in force under the draft Universal Service Act.

Why is the ministry taking this step?. The draft order maintains that fiber, cable, fixed radio access and satellite form “a broad range of technologies” that allow “the universalization of very high capacity networks for entire national territories.” In fact, the text highlights an “improved level of coverage” of fiber optics and 5G, in addition to the evolution of satellite networks. And with this panorama, based on Article 35.6 of the General Telecommunications Law, the Ministry has concluded that fixed telephone and broadband are “guaranteed under normal conditions of commercial exploitation”, so it will not renew Telefónica when its designation expires on December 31, 2026.

After 28 years, Telefonica is freed from the obligation to provide universal telecommunications services.

What you can order from 2027. From that date there will no longer be a single designated operator, and each company will be required to provide universal service within the area it provides coverage, according to the draft order. The conditions are specified in the draft regulations, which the ministry submitted for a public hearing on April 22, 2026 and which are still being processed. If it goes ahead, both individuals and small-businesses, SMEs and non-profit organizations will be able to claim 100 Mbps download, 5 Mbps upload and a maximum average latency of 690 milliseconds, in addition to real time text (RTT) function on calls.

In addition, the draft regulation will force all operators to apply for a minimum living income of at least 25% on their commercial value, both in terms of registration and monthly fees.

Picture | Telephone

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