Synopsis
Hungary was early to deregulate its telecoms market but interconnection and loop unbundling disputes delayed full and effective competition. Rigorous in promoting competition, the regulator has reduced interconnection and access tariffs to levels average for the EU region. As in many other markets the fixed-line sector is shrinking due to the trend of fixed-to-mobile substation, with fixed-line operators looking to broadband internet access and broadband-based services to boost revenue. The economic crisis has affected telecom revenue, exacerbated by the government’s recent telecom taxes which have been criticised by the EC. This report provides an overview of Hungary’s telecoms and IT market, highlighting regulatory developments, major operators, fixed-line network infrastructure, and a variety of insightful statistics.
Key developments:
Telecoms tax raises HUF61 billion but cuts into operator profits and CAPEX; government considers additional telecoms tax based on traffic; operators reporting lower revenue; new access regulations incorporate fibre and cable infrastructure sharing; National Media and Infocommunication Authority inaugurated to oversee telecoms sector; regulator market data to April 2012; telco financial and operating data to March 2012; market developments into mid-2012.
Companies covered in the report include:
Magyar Telekom, Invitel, Antenna Hungaria and GTS-Datanet.