The value of Spain’s telecom market has contracted since the high of 2007. Worth €40 billion in 2009, it reached only €37.3 billion in 2011 and is likely to fall for the next two years at least as consumers adjust to high unemployment, negative GDP growth and a tightening of domestic budgets. Mobile penetration is high and growing steadily, while broadband uptake is backed by continuing investment in infrastructure in a bid to address the relatively slow data speeds available. The regulator has fostered competition by providing access to the incumbent’s DSL and FttH networks, which has stimulated fibre roll-outs. The newly elected conservative government will be pressed to implement policies which encourage the ICT sector, secure the development of NGNs and ensure that Spain has a vibrant telecoms infrastructure to enable it to compete effectively in a global economy.
This report introduces the key aspects of the Spanish telecom market, providing statistics on the fixed-network services sector, and profiling the main players and their strategies to meet an increasingly competitive environment. The report also assesses the main regulatory issues, noting the status of interconnection, local loop unbundling, number portability and carrier preselection.
New government pressed to revitalise telecoms sector; Telefónica considers asset sales; telecom revenue falls nearly 5% in 2011; regulator agrees to 6.8% increase in LLU charges; Telefónica eyes Middle East market through deal with Etisalat, develops new organisational structure; new indirect access model to be introduced for 2012; ONO secures a US$1 billion bond issue; Telefónica planning to invest US$14.6 billion in Brazil to 2014; revised wholesale broadband access regulations for 2012; regulator’s 2011 market data and updates to April 2012; telcos’ operating and financial data to Q1 2012; market developments to mid-2012.
Companies covered in this report include:
Orange, Telefónica, Jazztel, ONO.