2012 Cyprus - Telecoms, IP Networks, Digital Media and Forecasts

CyTA upgrades international subsea cable capacity

BuddeComm’s annual publication, Cyprus - Telecoms, IP Networks, Digital Media and Forecasts, provides a comprehensive overview of the trends and developments in the telecommunications and digital media markets in one of Europe’s smaller countries. The report includes the regulator’s market data to June 2012, operators’ statistical data updates to June 2012, and market developments to early 2013.

Telecom market overview

Despite market liberalisation Cyprus’s telecoms market continues to be dominated by the incumbent, which is still fully-owned by the government. Improved regulatory conditions, particularly in relation to network interconnection and access, has given competing operators the confidence to invest in network infrastructure, unbundle local loops and launch competing services.

Mobile market

Two MNOs offer services in Cyprus, along with a small number of MVNOs which are gaining market share. Operators have upgraded their networks with new technologies and infrastructure to exploit the revenue potential from mobile data and broadband services.

Key telecom parameters – 2010; 2013

(Source: BuddeComm)

Market Highlights

• Prepaid mobile subscribers marginally dominate the sector despite lower ARPU from operators. Efforts to migrate subscribers to contract plans are beginning to show effects, with a slow rise in the proportion of contract subscribers.
• PrimeTel Mobile launched services in mid-2011 and though it has less than 1% of the mobile market by subscribers the company’s success in the fixed-line and TV sectors indicates that greater competition and cheaper access prices will develop well during 2012.
• Cablenet provides the fastest broadband services in Cyprus, though its network is restricted to a few of the major towns. Its DSL network has extended its reach to other areas, though there is little prospect of capital investment to extend its cable network as well.
• IPTV has become very popular, with PrimeTel and CyTA offering up to 150 channels. Triple play services are available widely, with Cablenet’s market share growing steadily at the expense of both CyTA and PrimeTel.
• In 2012 Cablenet deployed a back-office system from SeaChange to support its VoD and time-shift TV services.
• CyTA has deployed an optical transport platform to enable 500Gb/s transmission on the TE-North Cable System connecting the country to Asia and Africa to Europe.

This report is essential reading for those needing high level strategic information and objective analysis on the telecom sector in Greece. It provides further information on:

• Market liberalisation and regulatory issues;
• The impact of the global economic crisis;
• Telecoms operators – privatisation, acquisitions, new licences;
• Mobile data market developments in coming years in light of spectrum auctions and new license awards;
• 3G developments, regulatory issues and technologies including HSPA and LTE;
• Broadband migration to an FttH architecture;
• Historical and current subscriber statistics and forecasts;
• ARPU statistics and forecasts.

Data in this report is the latest available at the time of preparation and may not be for the current year.