The 13th report of the European Commission (EC) on the single European electronic communications market has been published, presenting an assessment of the sector's situation in 2007.
The electronic communications sector saw an increase over 2007 of 1.9 per cent, with a fifth consecutive year of increased investment, exceeding €50 billion. While the incumbent operators maintained 2006 levels of investment in comparison to revenue (13.5 per cent), the alternative operators exceeded this value. In global terms, the electronic communications sector contributed around 12 per cent to the productivity growth of the European economy.
The Commission concluded that revenues from the fixed voice communications sector are declining, having fallen by 5 per cent from 2006, due above all to growing sign up to IP and mobile services. Meanwhile fixed data communications, particularly broadband, have seen substantial growth, with revenues estimated to have reached €62 billion. According to the 13th report, the European Union (EU) presents positive values, with eight Member States having broadband penetration rates that are higher than the United States. Denmark and the Netherlands are the Member States with the highest penetration rates in the world.
Meanwhile the penetration rate of mobile communications reached 112 per cent in 2007, with corresponding revenues increasing by 3.8 per cent, driven by a reduction in termination rates, despite a great discrepancy remaining between the Member States. Furthermore, with regard to mobile voice communications, note is made of the importance of the relative weight of mobile data services. The Commission also pointed out the benefits for consumers that have resulted from the regulation on roaming, as well as the need to fully exploit the potential impact of portability in competition.
With regard to the regulatory context, the Commission expressed concerns in respect of certain national regulatory authorities (NRA), especially those of smaller Member States and of Member States that have recently joined. Meanwhile, the EC noted that, as the first series of market analyses conducted in almost all Member States, there is a variation in the panorama with respect to the imposition and control of the application of regulatory remedies.
The European Commission report also highlighted issues such as spectrum management, tariff transparency, the universal service, portability and the European emergency number (112), concluding that, in the European communications sector, consumers have taken advantage of a strengthened competitive environment.
As far as Portugal is concerned, emphasis was given to the increase in the broadband penetration rate which rose to 16.1 per cent. The Commission also underlined the active implementation of remedies by ANACOM, leading to greater competition in the market, resulting in the increase of unbundled loops for the provision of broadband services. It also cited the separation of the incumbent operator as a potential driver of competition, while recognising the actions of this Authority with regard to the radio spectrum, with the gradual implementation of the principle of technological neutrality.
Further information:
- 13th EC Report http://ec.europa.eu/information_society/policy/ecomm/doc/library/annualreports/13th/com_2008_153_en_final.pdf
- Volume I http://ec.europa.eu/information_society/policy/ecomm/doc/library/annualreports/13th/SEC(2008)356DTSVol1final.pdf
- Volume 2 http://ec.europa.eu/information_society/policy/ecomm/doc/library/annualreports/13th/SEC(2008)356DTSVol2final.pdf
- 8 EU Member States ahead of the US in broadband deployment says Commission's Telecoms Report(press releases) http://europa.eu/rapid/pressReleasesAction.do?reference=IP/08/460&format=HTML&aged=0&language=EN&guiLanguage=en
Related information on ANACOM's website:
- 12th EU report on electronic communications https://www.anacom.pt/render.jsp?contentId=470517
- Electronic communications - regulatory framework https://www.anacom.pt/render.jsp?categoryId=60209
- EU - European Union https://www.anacom.pt/render.jsp?categoryId=66653
