Brussels, 25/11/2010 (Agence Europe) - In its annual report, ETNO, the European Telecommunications Network Operators' Association, underlined that its members remained among the biggest investors last year in telecom networks and services. Investments from these traditional operators still account for two thirds of total investment made in the networks, including the setting up of new high-speed networks.
According to the IDATE (European Audiovisual and Telecommunications Institute) report, carried out on the behalf of ETNO, total turnover in the telecoms sector in Europe fell by 2.2% in 2009, compared to figures for 2008. Investment also fell by 6.4% due to the economic crisis and uncertainties linked to significant structural changes occurring on the telecommunications market. A fall in turnover is expected to continue in 2010 but will be less severe, according to initial estimates (-1%, approximately), although investment is expected to remain at the same level obtained in 2009. “ETNO members continue to devote a significant share of turnover to investment and remain the leading investors in services and networks. This highlights ETNO members' continuous contribution to the objectives of the Digital Agenda”, says Michael Bartholomew, ETNO Director
The report indicates that: 1) the fall in turnover affects all member states but is more abrupt in the new member states, which experienced impressive growth rates in 2008 (+4.4%). In Western countries, on the other hand, there will be a slight improvement; 2) penetration rates in the mobile telephone sector and broadband continue to increase in Europe (2% and 9% respectively), although the fixed telephony market is continuing to fall (- 5%). The use of VoiP (“Voice on Internet Protocol”), which allows for vocal messages to be sent on the broadband internet has shot up over the last five years (+638%); 3) total investment in the telecommunications sector reached €42.2 billion in 2009, which represents a fall of 6.4% compared to levels for 2008. This fall involves both the fixed and mobile telephone sectors; 4) despite all these factors, ETNO members continue to invest around 12% of their income and are responsible for 65% of total investment in the sector; 5) the number of households equipped with broadband continues to increase but only slowly, whereas operators are encouraging consumers to use existing high-speed connections. ETNO members are behind two thirds of high-speed network access deployment; 6) in the area of retail, IPTV (Internet Protocol Television) and online content continue to drive broadband up, while online social networks continue to increase. (I.L./transl.fl)