Business as usual

Publié le par Jean Arnal

According to agency Standard & Poor's, European telcos continue to suffer in domestic fixed-line operations. Driven by mobile substitution and fierce competition, the key incumbent fixed-line revenues decline by about 5% in 2006. As broadband services revenues grew by 8% in 2006 on a much smaller base, it is obvious that broadband cannot offset the fixed-line decline. So, margin and profitability are under pressure. S&P analysts recommend telcos to add new services, such as IPTV and triple-play packages, to better compete with alternative operators and cable companies, but warned that return will not be immediate. In short, go, it is mandatory, but you will not get any benefit in the short and mid term.

Publié dans Top stories

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