Archive for November, 2016

Israel mobile penetration amongst highest in the world

Wednesday, November 30th, 2016

Israel is home to one of the highest mobile penetrations in the world with almost 130% penetration per 100 inhabitants. This is partly due to a strong rate of fixed-mobile substitution in recent years. The increased competition created by the newer mobile infrastructure operators, Golan and Hot Mobile has also led to a decline in mobile prices, which is also driving uptake. Israel mobile customers have also begun moving towards 4G services.

In 2016 Israel also boasts a high broadband penetration. Services are accessible via ADSL, cable, and fibre optic platforms, as well as mobile broadband. Increasing availability of fibre due to capital expenditure has resulted in increased average speeds. There are two other competing infrastructures – the DSL network of fixed-line incumbent Bezeq and the digital cable network of HOT. ADSL is the leading infrastructure. Both Bezeq and HOT are subject to broadband universal service obligations. This has resulted in broadband being available to 99% of all households.

Israel has developed worldwide recognition has a premier location for start-up incubation and a number of innovations have emerged from the country over the past few years. Interest in tech start-ups is still a key growth area for Israel with the US and China in particular setting up and investing in various research labs and solutions. The start-up sector is fuelling digital economy and digital media developments in Israel.

For detailed information, table of contents and pricing see: Israel – Telecoms, Mobile, Broadband and Digital Media – Statistics and Analysis

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Iceland prepares for release of multi-band spectrum for LTE

Tuesday, November 29th, 2016

Although Iceland has one of Europe’s smallest economies, it is an affluent country and its people are avid users of technology and telecom services. There is effective competition in the mobile and broadband markets, with a number of players having emerged to challenge the dominance of the two leading players Síminn and Vodafone Iceland. The new entrants Nova and 365 have expanded their launched fixed-line services, complementing their existing presence in the mobile phone market. Both launched mobile services in 2007, and by mid-2016 Nova had become a market leader in terms of the number of subscribers. 365 secured spectrum to develop national LTE services, but its coverage obligations were weakened in 2016 as its struggled against the pressure of a network sharing deal in place between Nova and Vodafone and with a state-funded fibre project aimed at delivering broadband to rural areas.

The telecom market for some years suffered from the effects of the economic downturn which erupted in 2008, though economic growth has translated into improved investment in the sector as the main telcos have been stimulated to upgrade mobile and fixed networks. The government has also been supportive by promoting Next Generation Access networks, particularly affecting rural areas.

The incumbent, Síminn, found itself in a precarious position with creditors as a result of it having hedged against the falling króna and the failure of banks to honour their currency swap agreements. With falling revenue the company was obliged to adopt efficiency measures and streamline its operations. Having undergone a restructure in 2013 to separate its wholesale and retail activities, the company in early 2015 gained regulatory approval to merge with its holding company Skipti.

For detailed information, table of contents and pricing see: Iceland – Telecoms, Mobile, Broadband and Digital Media – Statistics and Analyses

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Mobile data revenue clearly growing in Turkey

Monday, November 28th, 2016

Revenue from mobile data is quickly edging towards a 40% market share in Turkey, while mobile voice revenue is clearly in decline. In 2013 mobile voice revenues still accounted for more than 65% market share of total mobile revenues in Turkey – but by early 2016 this had declined to just under 50%.

In 2016 there is also a clear trend that the number of 2G subscribers is in decline as customers turn to 3G services instead. In early 2016 there were around 66 million 3G subscribers, compared to around 8 million for 2G. This is a drop from 2013 when there were still around 20 million 2G subscribers in Turkey. In 2016 4G LTE services were also launched in Turkey.

Turkcell is also beginning to feel the pressure from alternative operators with its mobile subscriber base beginning to fall in recent years while both Vodafone and Turk Telekom (formerly Avea) increase their subscriber market shares. However, the recent abolishment of the mobile voice and SMS price regulation which was imposed upon Turkcell in 2009 will assist in allowing it to become more competitive again.

While mobile broadband is the most popular broadband platform in Turkey; xDSL continues to represent the majority of fixed broadband subscriptions due to the reach of Turk Telekom’s copper network. xDSL will eventually lose its dominance however due to the rapid growth in fibre subscriptions. In 2016 there are over 7.3 million subscribers to xDSL services. Fixed broadband services based on fibre are quickly growing in Turkey with subscriber number growing three-fold since 2013. In 2016 there were over 1.8 million fibre broadband subscribers across Turkey.

The strong broadband sector in Turkey has led to a vibrant e-commerce sector which has attracted international interest in recent years, including companies such as eBay and PayPal. However, concerns have arisen in 2016 that tighter government regulations, requiring companies to be more localised, are stifling the market. In mid-2016 PayPal suspended its services in Turkey after failing to be granted a new license – due to not operating a local IT system.

For detailed information, table of contents and pricing see: Turkey – Telecoms, Mobile, Broadband and Digital Media – Statistics and Analysis

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Croatia’s incumbent invests HRK 2 billion in fibre and pushes for G.fast

Saturday, November 26th, 2016

The Croatian telecoms market has been shaped by the country having joined the European Union in 2013, a process which resulted in market liberalisation and the creation of a regulatory environment conducive to competition. Alternative operators have entered the market and launched competing services in all market segments. Investment in network infrastructure is ongoing, while trials of G.fast technology promise to provide a wider footprint of gigabit services in coming years.

The mobile market has one of the highest penetration rates in the Balkans region. Three network operators dominate, though there is also room for a small number of MVNOs. Operators have focused on developing revenue from mobile data services, and to this end considerable investment is ongoing in upgraded network infrastructure, despite the poor economic climate which has held back customer spend.

Internet penetration in Croatia is also one of the highest in the Balkans region. There is effective competition between the fixed-line DSL and cable access platforms, while there is also a vibrant market for fibre deployments, though still predominantly in urban areas. ISPs have focused on increasing the capabilities of broadband infrastructure and so generate additional revenue through sales of bundled packages and videostreaming services. Digital Terrestrial TV progressed well, with the country among the first in Europe to complete the switch from analogue to digital broadcasting. The migration to the DVB-T2 standard, expected to be complete by 2020, will provide addition spectrum for mobile broadband use.

This report provides an overview of Croatia’s fixed-line market, covering regulatory developments, fixed-line infrastructure used to offer services, financial and performance data on significant fixed-line operators as well as the wholesale and IT markets. The report also provides updated analyses on the developing broadband and digital media markets, including a variety of statistics and subscriber forecasts to 2021. In addition, the report assesses the mobile market, including a variety of financial and performance statistics on service providers. It reviews network developments and deployed technologies, and examines a range of mobile services including m-commerce and mobile TV.

For detailed information, table of contents and pricing see: Croatia – Telecoms, Mobile, Broadband and Digital Media – Statistics and Analyses

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Sweden’s cancellation of 700MHz auction puts pressure on rural LTE rollout

Friday, November 25th, 2016

Sweden’s telecom market has one of the most mature mobile and broadband sectors in Europe, with one of the best developed LTE infrastructures in the region and a high penetration of fibre broadband services. The country was also the first in Europe to complete the switch to digital TV broadcasting. The mobile sector has seen innovative spectrum use, although the regulator in November 2016 was obliged to cancel its planned auction of spectrum in the 700MHz after the government decided that this range should continue to be used by broadcasters until May 2018.

There have been extensive mobile network upgrades which provide a significant proportion of subscribers with fast mobile broadband services, while Telia is looking to provide services based on 5G technologies as early as 2018.

A significant proportion of mobile subscribers now make use of LTE services, which for many customers provide a viable alternative to fixed-line broadband. The market has been enervated by greater consumer take-up for mobile data services as competition has forced down prices.

Considerable investments in upgraded DSL and cable broadband infrastructure as well as fibre networks by Sweden’s telcos in recent years have encouraged consumer adoption of bundled services. The largest cable TV operators, Com Hem and Kabelvision, have upgraded their networks to provide 1Gb/s broadband services.

Sweden enjoys one of the highest broadband penetration rates in Europe, the result of effective government broadband policies and a population quick to adopt emerging technologies. DSL dominates broadband access, though the number of subscribers is falling as customers migrate to fibre networks as these are built out. Some resilience in the DSL sector is shown by operators investing in VDSL upgrades as well as G.fast technology. Sweden’s fibre sector is among the most vibrant in the world, with the country now having one of the highest fibre-broadband densities in Europe.

This report assesses key aspects of the Swedish telecom market, providing data on fixed network services and profiling the main players. It also reviews the key regulatory issues, including interconnection, local loop unbundling, number portability, carrier preselection and NGN open access. The report also provides an overview of Sweden’s digital TV and converging media markets, including recent developments in videostreaming, bundled services and VoIP. In addition the report covers the fixed and wireless broadband markets, including statistical broadband forecasts to 2021, as well as developments in the mobile sector.

For detailed information, table of contents and pricing see: Sweden – Telecoms, Mobile, Broadband and Digital Media – Statistics and Analyses

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