European mobile in Q1 2017: Stuck at zero | Jun 2017

Sectors: 
Non-UK Telecoms
Mobile
Telecoms
Vodafone
Companies: 
EE
France Telecom
Hutchison 3G
Iliad
O2
Orange
SFR
T-Mobile
Telecom Italia
Telefonica
Vimplecom
Vodafone

European mobile service revenue growth remained stuck at zero in Q1, with a heightened impact from the mobile termination rate cuts in Germany and price promotional activity in southern Europe mitigating improving markets in the UK and France

‘More-for-more’ price rises continued both during the quarter and after, and appear to be more widespread than the 2016 increases. This should be driving revenue growth at a healthier rate than zero, and may well do as out-of-bundle revenue declines fade away in significance and regulated MTR and roaming cuts annualise out

On the downside, there remain clear disruptive threats from consolidation in Italy, the potential for improved non-incumbent competitor performance in Germany and Spain, and the potential for further consolidation, with its distinctly mixed blessings for competitors, in the UK and France

Access European mobile in Q1 2017: Stuck at zero