CEE WEATHER REPORT – Telecom
Former telecom monopolists in CEE are facing the same challenges as their counterparts in the West
Roland Berger Strategy Consultants and UniCredit CAIB AG presented the first issue of the "CEE Weather Report – Telecom". Following market liberalization, former telecom monopolists in Central and Eastern Europe are now facing the same challenges as their counterparts in Western Europe. A key success factor in CEE is the market success of mobile phone subsidiaries. Mobile phone growth has prospered due to low fixed-line penetration of barely 40%, poor grid quality and a comparatively low number of computers. In the meantime, all ex-monopolists have established or acquired mobile phone subsidiaries. Those that did so before 2001 are in a better position today. At the same time, the slow expansion of fixed lines is hampering the development of broadband and making it difficult to offer innovative products in this area. However, precisely these new products and services such as broadband (including IP-TV) or IT services can give a company a competitive edge, attract new customers and make fixed line more appealing.
Roland Berger Strategy Consultants and UniCredit CAIB AG presented the first issue of the "CEE Weather Report – Telecom". Following market liberalization, former telecom monopolists in Central and Eastern Europe are now facing the same challenges as their counterparts in Western Europe. A key success factor in CEE is the market success of mobile phone subsidiaries. Mobile phone growth has prospered due to low fixed-line penetration of barely 40%, poor grid quality and a comparatively low number of computers. In the meantime, all ex-monopolists have established or acquired mobile phone subsidiaries. Those that did so before 2001 are in a better position today. At the same time, the slow expansion of fixed lines is hampering the development of broadband and making it difficult to offer innovative products in this area. However, precisely these new products and services such as broadband (including IP-TV) or IT services can give a company a competitive edge, attract new customers and make fixed line more appealing.
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