Orange: Mobile telephony market down 14 pc last year

Mobile telephony earnings fell 14.2 per cent, to EUR 2.4 bln last year, below the level of 2007, while the number of mobile telephone subscriptions and prepaid phone cards rose by over 6 M over the past two years, to 29.1 M, according to Orange estimates carried by Mediafax. The year-on-year turnover in 2008 of mobile telephony companies in Romania therefore raised significantly from EUR 2.5 bln to 2.8 bln, yet fell to EUR 2.4 bln last year. The penetration rate rose to 135 per cent last year, against 129 per cent in 2008. “The telecommunications market has been fully impacted by the crisis. Revenues from mobile telephony services were down 14 per cent in 2009, despite the number of subscribers going up steadily. The penetration rate of mobile services was of 135% in 2009, up 6 per cent compared to 2008, on the back of a higher number of SIM cards per user. The Internet market has also witnessed strong growth thanks to fibre optic networks being on the rise,” according to a France Telecom report. Orange estimates out the company’s market share at 37.8 per cent, Vodafone – 33.2 per cent, Cosmote – 23.8 per cent and Zapp (the last company purchased by Cosmote) – 1.2 per cent, and RCS/RDS – 4 per cent. The fixed telephony turnover shrank from EUR 600 M to EUR 500 M, while earnings from Internet and data transfer segments stood flat at about EUR 200 M each in 2008, according to Orange estimates.

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