Deutsche Telekom said yesterday it would continue to pursue an international strategy despite the collapse last weekend of a proposed merger with Telecom Italia. The company's board expressed its full confidence in Mr Ron Sommer as chairman, electing him to a further five-year term.

Addressing a meeting of more than 6,000 Deutsche Telekom shareholders in Cologne, Mr Sommer insisted there was no alternative to his plan to expand beyond Germany's borders.

"We are determined to be one of the four or five providers who will shape the world market," he said.

Mr Sommer declined to specify which companies Deutsche Telekom might seek to acquire following its failure to take over Telecom Italia. But he said the company would have to make some major acquisitions within the next two years if it is to become a global player in the telecommunications market.

A statement by the company's board made it clear that Deutsche Telekom had not entirely given up hope of acquiring Telecom Italia, which was taken over last week by Olivetti.

"Telecom Italia was and is an excellent partner, which would complement Deutsche Telekom magnificently, both geographically and technologically. The industrial logic behind it still holds. But a merger with Telecom Italia is by no means the only path that can lead Deutsche Telekom to its goal," it said.

Mr Sommer said that he would enter talks with Telecom Italia's new management as soon as possible but he stressed that Deutsche Telekom was keeping all merger options open.

"The future belongs to companies that can offer their customers all the most modern telecommunications applications, right around the world. We want to be among these companies," he said.