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Fixed-Voice Sector Pulls Down Growth in Europe’s Telecoms Market - Report Buyer has added a new report estimating that Europe’s overall telecom market growth will be around 2-4% at best for both 2007 and 2008
Fixed-Voice Sector Pulls Down Growth in Europe’s Telecoms Market

 

NewswireToday - /newswire/ - London, United Kingdom, 2008/04/03 - Report Buyer has added a new report estimating that Europe’s overall telecom market growth will be around 2-4% at best for both 2007 and 2008.

   
 
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Report Buyer, the online destination for business intelligence for major industry sectors, has added a new report estimating that Europe’s overall telecom market growth will be around 2-4% at best for both 2007 and 2008.

“2007 European Telecoms, Mobile and Broadband - Overviews” reports that the ailing fixed-voice sector has steadily pulled down market growth, which has otherwise been pushed upwards by a vibrant broadband sector and emerging trends and possibilities in the mobile data sector.

The report shows that, across the board, fixed-voice losses, which number in the millions annually, will aggravate this state of affairs in coming years. It further shows that in some markets the incumbents are losing up to 2% of Public Switched Telephone Network (PSTN) lines annually as customers cancel subscriptions in favour of mobile-only options and as Voice over Internet Protocol (VoIP) alternatives become more commonplace.

Authors of the report note that the VoIP market remains small, but is doubling every year. In time, VoIP will be subsumed within wider triple play and quad play offers, but its detrimental effect on fixed-voice revenue is universal.

The study shows that, on the mobile front, Fixed-Mobile Substitution (FMS), is being promoted by some operators as a home-based 'total communications solution', bundling an all-mobile homezone offer with DSL. It further shows that O2 UK and Vodafone Germany were among the first operators to introduce an all-mobile zonal tariff and DSL bundle. The model has also emerged in Italy, France, Portugal, The Netherlands and Belgium. The offers are beginning to represent a significant share f operators' total contract customer base.

The authors further note that growth from the mobile sector, which has otherwise underpinned the market, has been affected both by intense competition in the voice market (lowering voice tariffs and in turn encouraging consumer take-up of FMS) and by regulator controls on roaming and termination tariffs. Later in 2008 a ceiling on data roaming tariffs is expected to be implemented across the EU, further dampening mobile operator revenue.

“2007 European Telecoms, Mobile and Broadband - Overviews” is available from Report Buyer. For more information, see website.

Report Buyer product ID: BUD00234

About Report Buyer
Report Buyer is a UK-based independent online store supplying business information. The website now carries over 50,000 business information products, including market reports, studies, books and events. Subscribers receive a free monthly newsletter and email alerts on new titles in their areas of interest. A regularly updated blog provides information on the latest market trends.

 
 
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Fixed-Voice Sector Pulls Down Growth in Europe’s Telecoms Market

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