A new analysis by Verivox shows: Germany has the highest internet prices for stationary broadband internet in the EU. While users in many EU countries only pay a few cents per megabit (Mbit) for fast Internet connections, the price in Germany is one euro per Mbit – a peak value within the European Union.
- Price differences within the EU: In Romania, one Mbit costs just 1 cent, in Poland and Slovakia 3 cents. A total of 13 countries, including Italy, France, Spain and Portugal, are below 10 cents per Mbit. The EU average price is 18 cents per Mbit.
- Most expensive countries: Germany is followed by Austria and Belgium with 35 cents per Mbit.
Reasons for the high prices in Germany
There are many reasons for the high Internet prices in Germany:
- Competitive situation: although the German market has been liberalized since 1998, a few providers dominate, in particular Deutsche Telekom. Many competitors are dependent on Telekom’s wholesale products, which influences pricing.
- Infrastructure and investments: Historical failures to expand modern network infrastructures have led to higher costs. The sluggish expansion of fiber optics and the dependence on outdated copper lines contribute to pricing.
- Regulation: Regulatory framework conditions have not sufficiently promoted competition, which has led to lower price dynamics.
Internet prices: Impact on consumers
The high Internet prices in Germany have direct consequences for consumers:
- Financial burden: households have to pay significantly more for comparable services than in other EU countries.
- Digitization: High costs can slow down digitization as they make access to fast Internet connections more difficult.
- Competitiveness: Companies could experience locational disadvantages if they have higher operating costs for internet services in international comparison.
The price-performance comparison reveals an interesting result: fiber optic tariffs offer the best ratio of price per Mbit. “On average, fiber optic is 47 percent cheaper than DSL in relation to the performance offered,” according to Verivox.
Conclusion
The analysis shows that Germany has the highest Internet prices in Europe. In order to correct this imbalance, measures to promote competition, investments in modern infrastructures and an adjustment of the regulatory framework are necessary. This is the only way to achieve fair pricing and an improvement in digital coverage in the long term.
