Telecom Italia eyes settlement to stop 4 bln euro antitrust claims -sources

* Lawsuits pending with Swisscom (Other OTC: SCMWY - news) unit, Vodafone

* Settlement would bypass lengthy court proceedings

* Telecom seen setting aside money to cover antitrust risks (Adds source, details)

By Danilo Masoni and Stefano Rebaudo

MILAN, Aug 5 (Reuters) - Telecom Italia (Other OTC: TIAJF - news) is considering settling separate antitrust disputes with rivals to stop damage claims for around 4 billion euros ($4.6 billion), two sources close to the matter told Reuters on Wednesday.

Mobile phone giant Vodafone sued the former Italian phone monopoly two years ago, alleging Telecom Italia had abused its dominant position in its home market and is seeking over 1 billion euros in damages.

Other telecoms firms have also sued Telecom Italia on competition grounds in recent years. Swisscom's Italian broadband unit Fastweb is seeking damages of 1.74 billion euros, Internet firm Tiscali (Milan: TIS.MI - news) is seeking 285 million, while small telecoms firms Eutelia, Voiceplus and Teleunit are demanding a combined sum of nearly 1.1 billion.

A third source with knowledge of the matter said a deal in at least one of those cases could be within reach.

A settlement, if reached, would allow the parties to bypass lengthy judicial proceedings.

Telecom Italia is expected to set aside at least 300 million euros to cover risks connected to the lawsuits when it approves its results this week.

In 2013, Italy's competition authority fined Telecom Italia about 104 million euros for abusing its dominant market position as owner and manager of the country's largest fixed-line phone network. The fine was upheld by Italy's top court in May. ($1 = 0.9201 euros) (Reporting by Danilo Masoni and Stefano Rebaudo; Editing by Susan Fenton)