Commission allows state funding of mobile internet project in France

27 May 2008 | News
The Commission will not object to France fudning a programme on personal management of multimedia data for the internet and mobile telephony.

The European Commission will not raise any objections under EC Treaty state aid rules to the €35.2 million France is giving over 30 months to the MaXSSIMM research and development programme, which is developing systems for the personal management of multimedia data for the internet and mobile telephony, and the deployment of secure services for digital set-top boxes. The project involves a consortium of 10 partners headed by SIM card specialist Gemalto.

EU Competition Commissioner Neelie Kroes said, “We are confident that the positive contribution the MaXSSIMM programme will make to research will outweigh any distortion of competition caused by the aid.”

The MaXSSIMM programme centres around changes to SIM card technology and the simultaneous adaptation of mobile terminals and service platforms for GSM and 3G networks, which involves significant software and hardware development.

Gemalto will contribute to the development of a common architecture incorporating mobile communication, microelectronics and distance management of cards and services by operators. Other partners will contribute to the development of the new terminals compatible with the MaXSSIMM architecture and the integration of microcontroller components, while SMEs will contribute their expertise to the supply of mobile services on the new platform.

The Commission takes the view that MaXSSIMM will have benefits for the EU as a whole, providing a solution for market shortcomings such as problems of coordination between the various players in the mobile communications industry and the commercial uncertainties and risks regarding the success of the programme.

Any distortions in competition produced by the aid should be limited, since Gemalto is not expected to increase its market share significantly. The consortium will publish its results and license the system interface specifications.


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