Boston, MA -- (SBWIRE) -- 02/17/2014 -- The Turkish telecommunications market is a relative outperformer compared with its regional peers. There was strong growth in fixed and mobile broadband subscriptions, as well as pay-TV subscriptions in 2013. The mobile market is more volatile, however, with IP voice and messaging substitution beginning to take hold and putting pressure on revenues. The largest operators - Turk Telekom and Turkcell - are responding with an increased emphasis on fixed-mobile service bundles, with TV central to those offerings. This could put Vodafone at a disadvantage, as it has yet to develop its own pay-TV service for its fledgling fixed broadband business. Broadband video aside, the main catalysts for change in the Turkish market continue to be the arrival of MVNOs and roll out of mobile number portability.
View Full Report Details and Table of Contents
- Smartphone ownership continues to grow in Turkey, underpinned by mid-range Android handsets. Turkcell reported that 24.6% of its subscription base used smartphones in Q313, compared to 28.1% at Vodafone and 33% at Avea.
- SMS IP substitution has been a negative consequence of the smartphone boom, offsetting some of the gains from mobile data revenue growth. BMI calculates from ICTA and operator data that SMS sent per subscription per month declined by more than 10% y-o-y to Q313 at both Turkcell and Avea, while Vodafone fared better with growth of 2.7%.
Key Trends And Developments
The focus of competition in Turkey has increasingly moved to the converged services market, driving operator investments. Incumbent Turk Telekom has invested in fibre to raise download speeds, and enable bundled services including fixed-line, broadband and pay-TV. Meanwhile, mobile market leader Turkcell is growing rapidly in the wireline market through its Superonline subsidiary. Finally, Vodafone, which has a presence via its acquisition of Koc.net, struck a deal in January 2014 to double its fibre optic footprint by agreeing to use infrastructure owned by the state-owned Turkey Electricity Transmission Company (TEIAS). Vodafone will pay TRY128mn (US$60mn) over 15 years to lease capacity on TEIAS' national fibre-optic network and expand its footprint by a factor of 2.5 to reach 16,000km. BMI expects operators will continue to invest in wireline infrastructure, both to tap converged services and support wireless data network expansion by providing cost-effective backhaul.
About Fast Market Research
Fast Market Research is a leading distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff is always available to help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Fixed Networks research reports at Fast Market Research
You may also be interested in these related reports:
- Central America Telecommunications Report Q2 2014
- Greece Telecommunications Report Q2 2014
- Belgium Telecommunications Report Q2 2014
- Sri Lanka Telecommunications Report Q2 2014
- Switzerland Telecommunications Report Q2 2014
- Bulgaria Telecommunications Report Q2 2014
- Bosnia-Herzegovina Telecommunications Report Q2 2014
- Philippines Telecommunications Report Q2 2014
- 2014 Worldwide Wired Telecommunications Carriers Industry - Industry & Market Report
- Czech Republic Telecommunications Report Q1 2014