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Latest Report-Telco Consolidation in Europe-Market Growth Trends and Forecast

Drivers & Hurdles, Trends & Scenarios

This report studies the reasons encouraging the consolidation of Europe’s telecom industry. It assesses the drivers and hurdles for potential consolidation operations. 

It reviews a number of previous examples of consolidation in order to gauge their impact, the factors that have helped make them successful or the reasons for their failure, where applicable. 

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It concludes that consolidation of the telecom industry at pan-European level will be conducted in two stages. 

Table of Content

1. Executive summary 

1.1. A favorable environment 

1.2. Drivers and hurdles of consolidation operations 

1.2.1. Drivers 

1.2.2. Hurdles  

1.2.3. Forms of consolidation 

1.2.4. Geographic dimension 

1.2.5. Current situation 

1.3. Outlook 

1.3.1. Current trends 

1.3.2. Long-term outlook 

 

2. Methodology 

 

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3. Introduction 

 

4. Drivers and hurdles of consolidation operations 

4.1. Drivers 

4.1.1. A restricted market environment 

4.1.2. A rather fragmented industry 

4.1.3. Several regulatory initiatives promoting some consolidation 

4.2. Hurdles involving regulation and competition 

4.3. Other hurdles 

4.3.1. Attitude of Member States 

4.3.2. Stance of shareholders 

4.3.3. Difficulties intrinsic to operations 

4.4. Different forms of consolidation 

4.4.1. Partnerships 

4.4.2. Infrastructure sharing 

4.4.3. NetCo/ServCo 

4.4.4. Mergers and acquisitions 

4.5. Geographic dimension 

4.5.1. Consolidation at national level 

4.5.2. Consolidation at regional level 

4.6. Previous experience 

4.6.1. Regulators\' and competition authorities\' assessment of consolidation 

4.6.2. Results 

 

5. Outlook 

5.1. Several trends 

5.1.1. Mega-mergers in Europe seem to be off the agenda 

5.1.2. National consolidation is now underway for mobile 

5.1.3. Regional consolidation is now underway for cable 

5.1.4. Network sharing agreements multiply 

5.2. What is the trend for future years? 

5.2.1. National consolidation 

5.2.2. European consolidation 

5.2.3. Conclusion 

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Table 1: Industry structure of the five main European mobile markets

Table 2: Some rebranding dates for Orange subsidiaries

Figure 1:  Drivers/hurdles matrix

Figure 2 Consolidation options

Figure 3: What is the outlook for consolidation?

Figure 4: Anticipated intensity of consolidation options

Figure 5: Types of mobile network sharing

Figure 6: Changes in revenues from telecoms services in Europe 

Figure 7: Consolidation options

Figure 8: Deutsche Telekom/France Télécom procurement procedure

Figure 9: Objectives of BuyIn joint venture (common to France Télécom & Deutsche Telekom)

Figure 10: Global presence of Virgin Mobile brand

Figure 11: Three-tier NetCo/ServCo model

Figure 12: KPN/Reggefibre joint venture (2008-2012)

Figure 13: European footprint of major operators (2013)

Figure 14: Consolidation drivers/hurdles matrix

Figure 15: Website project for Verizon Wireless & Comcast nuon venture

Figure 16: Estimated cost savings based on type of network sharing agreement

Figure 17: Comparison of different sharing models

Figure 18 What is the outlook for consolidation?

Figure 19: Development of Reggefibre

Figure 20 Anticipated intensity of consolidation options

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