Italo initially plans to operate on the Munich–Dortmund and Munich–Hamburg routes. The company says it expects a 40 percent drop in long-distance fares and aims to create around 2,500 new jobs. Italo CEO Gianbattista La Rocca told Bild am Sonntag that the company aims to be about a fifth cheaper than Deutsche Bahn.
In Italy, Italo now holds around 30 percent of the high-speed rail market. Transport economist Paolo Beria from the Technical University of Milan confirmed that Trenitalia’s prices have fallen by 15 to 20 percent since Italo entered the market. Service frequency has more than doubled, with trains running between Rome and Milan every ten minutes at peak times.
Deutsche Bahn board member Evelyn Palla and the EVG railway and transport union have expressed concerns that Italo’s entry could lead to less frequent service to certain locations. Beria counters that regulators can intervene, similar to the approach in France. The Federal Network Agency’s decision is expected in the coming days.
Source: Tagesschau
