2016 Sweden - Telecoms, Mobile, Broadband and Digital Media - Statistics and Analyses

Sweden’s cancellation of 700MHz auction puts pressure on rural LTE rollout

Sweden’s telecom market has one of the most mature mobile and broadband sectors in Europe, with one of the best developed LTE infrastructures in the region and a high penetration of fibre broadband services. The country was also the first in Europe to complete the switch to digital TV broadcasting. The mobile sector has seen innovative spectrum use, although the regulator in November 2016 was obliged to cancel its planned auction of spectrum in the 700MHz after the government decided that this range should continue to be used by broadcasters until May 2018.

There have been extensive mobile network upgrades which provide a significant proportion of subscribers with fast mobile broadband services, while Telia is looking to provide services based on 5G technologies as early as 2018.

A significant proportion of mobile subscribers now make use of LTE services, which for many customers provide a viable alternative to fixed-line broadband. The market has been enervated by greater consumer take-up for mobile data services as competition has forced down prices.

Considerable investments in upgraded DSL and cable broadband infrastructure as well as fibre networks by Sweden’s telcos in recent years have encouraged consumer adoption of bundled services. The largest cable TV operators, Com Hem and Kabelvision, have upgraded their networks to provide 1Gb/s broadband services.

Sweden enjoys one of the highest broadband penetration rates in Europe, the result of effective government broadband policies and a population quick to adopt emerging technologies. DSL dominates broadband access, though the number of subscribers is falling as customers migrate to fibre networks as these are built out. Some resilience in the DSL sector is shown by operators investing in VDSL upgrades as well as G.fast technology. Sweden’s fibre sector is among the most vibrant in the world, with the country now having one of the highest fibre-broadband densities in Europe.

This report assesses key aspects of the Swedish telecom market, providing data on fixed network services and profiling the main players. It also reviews the key regulatory issues, including interconnection, local loop unbundling, number portability, carrier preselection and NGN open access. The report also provides an overview of Sweden’s digital TV and converging media markets, including recent developments in videostreaming, bundled services and VoIP. In addition the report covers the fixed and wireless broadband markets, including statistical broadband forecasts to 2021, as well as developments in the mobile sector.

Key developments:

• Tele2 completes acquisition of TDC Sweden;
• Telecom revenue stable in 2015, year-on-year;
• Regulator abandons 700MHz spectrum auction, identifies 3.5GH band as  suitable for 5G services;
• H3 secures remaining block of spectrum in the 1800MHz band;
• Tele2 secures additional loan to expand LTE infrastructure;
• Net4Mobililty network to provide 90% geographic coverage by end-2016;
• Telenor launches tri-band LTE to provide data at up to 450Mb/s;
• MNOs launch mobile wallet service JV;
• Legislation comes into force aimed at promoting broadband deployment through encouraging infrastructure sharing and coordination of works;
• Com Hem’s acquires Boxer TV-Access;
• Telia completes G.fast field trials to deliver 1Gb/s services over short-distance copper;
• Com Hem launches a 500Mb/s cable service and a 1Gb/s fibre service;
• Telia commits to SEK5 billion investment to connect up to one million households with FttP;
• 100Mb/s broadband connectivity available to more than half of all premises;
• Report update includes the regulator’s market data to 2015, telcos’ operating and financial data to Q3 2016, recent market developments.

Companies mentioned in this report:

Telia, Tele2, H3 Sweden, Telenor Sweden, Net 1, Com Hem, Canal Digital, ViaSat, Boxer, MTG, PiteEnergi, BAS.