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15 November, 2018

In Nine Months, Basic Indicators of Fixed Telephone Services Market Continued to Decline

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The statistical data about the evolution of the fixed telephony market in nine months of 2016, aggregated by the National Regulatory Agency for Electronic Communications and Information Technology (ANRCETI), show that the number of subscribers, the voice traffic and the revenues on this market followed the negative trend of the recent years. The number of subscribers decreased compared to the end of 2015, by 16,7 thousand (-1,4%) and totaled 1 million 186 thousand. The voice traffic in fixed networks decreased compared to the same period of 2015, by 196 million minutes (-12,4%) and totaled 1 billion 386 million minutes, while the total revenues of services decreased by 92,3 million (-12,1%) and showed 672,3 million lei.

According to data presented to ANRCETI by 21 active fixed telephony service providers, the decrease in the number of subscribers was caused by the reduction of the subscriber base of JSC "Moldtelecom" by 23,8 thousand (-2,2%), reaching 1 million 50,7 thousand. The subscriber base of other 20 alternative fixed telephony providers increased by 7 thousand (+5,5%) up to 135 thousand. Following this development, the fixed telephony penetration rate per 100 inhabitants decreased by 0,5 p.p. and equaled 33,4%.

The reduction of the voice traffic volume in fixed networks occurred due to the reduction of all types of traffic. The traffic originated abroad and terminated in fixed networks in Moldova decreased by 39%, the traffic to other fixed networks - by 38,7%, the traffic to international networks - by 25,4%, the traffic to mobile networks - by 9,8% and the interconnection traffic - by 9,7%. Under these circumstances, the average monthly voice traffic per subscriber (MoU) was reduced by 12,9% and equaled 198 minutes (three hours and 18 minutes).

The decrease of revenues from fixed telephony services was driven by lower revenues of all providers. Thus, the revenues of alternative providers decreased by 25,1 million lei (-51%) and reached about 24,2 million lei, while the revenues of JSC “Moldtelecom" decreased by 67,6 million lei (-9,4%) and amounted to 648,1 million lei. Following this development, the average revenue per subscriber (ARPU) was reduced by 11% and amounted to 62,5 lei. JSC "Moldtelecom" ARPU of 67,7 lei (down 7,2%) and the alternative providers – 20,3 lei ARPU (down 55%).

According to the statistical data on the evolution of the fixed telephony market in nine months of 2016, the market share of SA "Moldtelecom", according to revenues was 96,4%, and the cumulative of other 20 alternative providers was 3,6%.

November 29, 2016

Information was given by: ANRCETI Service for information and communication with mass-media
Changed: 5/12/2016