Press Releases

The Hungarian Government and Magyar Telekom strengthen their cooperation for the digital transformation of Hungary with a Memorandum of Understanding

Budapest, September 15, 2023 12:10

The Government of Hungary and Magyar Telekom signed a Memorandum of Understanding, confirming their long-term cooperation for the digital transformation of Hungary.

Prime Minister Viktor Orbán and Márton Nagy, Minister of Economic Development, welcomed Timotheus Höttges, Deutsche Telekom’s CEO, and Tibor Rékasi, Magyar Telekom’s CEO, in the Carmelite Monastery. At the meeting the parties confirmed in a memorandum that the digital transformation of Hungary is a common goal, and they will continue their cooperation to achieve this objective.

In the Memorandum Magyar Telekom confirms its intention to promote the development of long-term sustainable fixed and mobile infrastructure as well as the rollout of services, contributing to the EU’s Digital Decade program, the achievement of the 2030 objectives, in line with the National Digitalization Strategy. To this end, the provision of gigabit access for the country’s citizens and businesses is of key importance. Thanks to intensive developments in recent years Magyar Telekom now offers gigabit speed to more than 3.5 million homes and businesses and increased its outdoor population-based 5G coverage to 60% as part of its mobile network modernization program. Continuing these developments and in line with the digital engagement, Magyar Telekom is committed to build gigabit-capable fixed network covering an additional 1 million households in 4 years, making the fixed gigabit-capable network infrastructure available to 4.5 million Hungarian homes and businesses by the end of 2027. Besides, the Company will also accelerate the rollout of 5G coverage, resulting in an increase to close to 99% population-based outdoor 5G coverage by 2026.



Tibor Rékasi, Magyar Telekom’s CEO, emphasized: “ Magyar Telekom undertakes an important role in Hungary’s digital development to make the benefits and opportunities of the digital world available to the citizens and businesses . Our most important goal is to provide opportunities for Hungary’s citizens, businesses and large companies to enter the digital world, and we are supporting this with investments, network developments and educational programs. This goal is in line with the intentions of the Government of Hungary and we will go forward on this path in a strong, long-term partnership .”

To support Hungary's digital transformation, the Government of Hungary confirmed its intention to abolish utility tax payment obligation of the electronic telecommunication providers from January 2024, and the supplementary telecommunication tax from January 2025.

It is a priority of the Hungarian Government to increase the productivity and competitiveness of the economy, therefore it is vital to support investments that contribute to the development of the Hungarian economy ," - confirmed Márton Nagy, Minister of Economic Development.

Timotheus Höttges, Deutsche Telekom’s CEO stressed: “As the leading European telecommunications provider, Deutsche Telekom is the digital partner for all citizens of a digital society. Under fair market and competitive conditions, we are able to invest more in new generation networks and modern technological infrastructure. Through these investments, we are pleased to play an important role in the further digitalization of the Hungarian society”.


Besides the infrastructure developments, Telekom, in partnership with the Government of Hungary, supports the integration of digital technology and encourages the development and spreading of digital solutions for Hungarian micro, small and medium enterprises.  The parties agreed on joint programs to help businesses in leveraging the potential of cloud-based services and artificial intelligence to improve the efficiency of their operation by analysing data-driven information, while ensuring cybersecurity, data security and privacy. In addition, Telekom promotes the research, development and innovation activities of Hungarian educational institutions and research centers, continues and expands its cooperation with Hungary's top higher education institutions, also, Telekom’s aim is to meet the needs of select industrial companies for 4G/5G technology based automated solutions.