Iceland’s government is working to ensure that the sale of telecommunications company Míla will not pose a threat to national security, mbl.is reports. Míla is a subsidiary of Síminn hf., which announced yesterday that it has signed an agreement with a French fund management company regarding Míla’s possible acquisition. Prime Minister Katrín Jakobsdóttir is preparing a bill to ensure telecommunications security, and therefore national security in Iceland, regardless of the ownership of important infrastructure.
All of Iceland’s homes, businesses, and institutions are serviced by Míla’s nationwide telecommunications infrastructure, which includes copper wire, fibreoptic, and microwave systems. The company is therefore the basis of all telecommunications and electronic communications systems throughout the country. The notice on Míla’s sale states that negotiations are well underway and the potential purchase is fully financed. If acquisition is successful, a large part of Iceland’s telecommunications infrastructure will be in the hands of foreign investors.
Transport Minister Sigurður Ingi Jóhannsson is in discussions with Síminn to ensure that Iceland’s communications security, and national security, are protected regardless of Míla’s ownership. The Prime Minister stated that the company had done well to keep the National Security Council informed on the sale’s progress.
Discussing telecommunications infrastructure, Katrín stated “it was perhaps not entirely foreseen how important such infrastructure would be, but now with technological developments and other things, it has become a key issue for public security in every society.” Katrín says she is preparing legislation that ensures foreign investments in important infrastructure would be carefully reviewed and plans to introduce a bill on the matter in Parliament this winter. The bill is based on existing legislation in Denmark and Norway.
This is not the first time Iceland’s institutions discuss foreign, private ownership of local infrastructure. The National Security Council has discussed foreign ownership of card payment companies and the Central Bank of Iceland is currently developing a domestic payment system that could be used as a backup if needed.