The CNMC (National Commission on Markets and Competition) is currently conducting an analysis of the competitive situation and submarine cable connectivity in Spain's non-peninsular territories, including the Canary Islands, Balearic Islands, Ceuta, and Melilla. This examination is essential for businesses operating in these areas, as it seeks to identify and prevent anti-competitive practices that could harm both competition and consumers.

As part of its monitoring efforts, the CNMC is keeping a close eye on market activities, which may lead to investigations into potential abuses of dominant positions or collusion among companies. Telecommunications businesses and those in related sectors are advised to ensure compliance with competition regulations to avoid penalties. The CNMC also encourages anonymous reporting of competition violations, which could influence how companies manage their competitive strategies.

The report released by the CNMC indicates that larger islands generally enjoy good coverage and service availability, while smaller islands are lagging behind in fiber and 5G coverage compared to the Spanish average. However, Ceuta and Melilla boast nearly complete high-speed broadband coverage, exceeding both Spanish and European averages. This highlights the importance of maintaining fair competition in the telecommunications market, especially for businesses in non-peninsular regions.

Furthermore, the CNMC has noted that El Hierro currently relies on a single submarine cable, which poses risks for service continuity. A second cable is planned to be operational by 2026, addressing previous recommendations from 2015. The CNMC suggests that operators using a single cable consider negotiating fiber exchange agreements to prevent service interruptions, ensuring that these agreements comply with competition law.

Overall, the CNMC's scrutiny emphasizes the need for businesses to stay informed about regulatory changes and the implications of public procurement processes. Competition law advisors should be proactive in advising clients on compliance to foster a competitive market environment, particularly in light of the aging submarine cables that may require future upgrades.