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30 November, 2023

Volume of Sales on Fixed Telephony Market Continues to Decrease

In the first nine months of 2012, like in the previous year, the fixed telephony market was subject to a decrease in traffic and revenue from sale of publicly available services as against a slight increase in the number of subscribers. So, in the timeframe January - September 2012, the total volume of sales on this market decreased by 5.2%, compared with the same period of 2011, making about 1 billion 171,4 million lei, whereas the number of subscribers to fixed-line networks grew by almost 17.8 thousand (+ 1.5%) and made a total of 1 million 197,7 thousand.

According to the data reported to the National Regulatory Agency for Electronic Communications and Information technology (ANRCETI) by the active fixed telephony providers, the increase in the number of subscribers occurred exclusively due to the 24 alternative operators. They connected about 21,3 thousand of new subscribers, whereas the subscriber base of JSC „Moldtelecom” decreased by 3,5 thousand. On October 1, 2012, JSC ”Moldtelecom” had 1 million 123,8 thousand subscribers, while the alternative operators – 73,4 thousand. The fixed penetration rate per 100 population increased 0,5 percent points over the end of 2011, reaching 33,65%. As of 31.12.2011, in the CIS region, this indicators showed on average 26,3%, in Europe – over 40%.

In the reporting period, the total volume of voice traffic in fixed telephone networks decreased compared to the same nine months of 2011, by 8.4% and equaled 2 billion 289,6 million minutes. Voice traffic to international and fixed networks decreased by 12.6% and 9.8% respectively, the traffic to mobile networks – by 2.4% and the interconnection traffic – by 2.3%. At the same time, the average monthly voice traffic per subscriber (MoU) decreased by 10% and totaled 214 minutes (three hours and 34 minutes). 

The data available to ANRCETI shows that in the first nine months of 2012, the revenues of JSC "Moldtelecom" from fixed telephony services decreased, compared to the corresponding period of 2011, by 6.3% and made 1 billion 140,5 million lei, whereas the aggregated revenues of alternative operators increased by 64,9% and totaled about 30,9 million lei. The average monthly revenue per user (ARPU) of JSC "Moldtelecom" was 112,59 lei (down by 6.3%), and the ARPU of alternative operators – 54,2 lei (up by 13.5%). ANRCETI specialists explain the alternative operators’ revenue growth by their subscriber base expanding as a result of their connection to triple play services (Internet, TV and fixed telephony).

In the timeframe under report, the market share in terms of revenue of the largest player on the fixed telephony market – JSC "Moldtelecom" – was 97,36%, the one of the 24 alternative operators jointly – 2,64%.

Further information about the developments on the fixed telephony market in 9 months of 2012 is available on section Statistical data.

November 28, 2012

Changed: 28/11/2012