Developing Telecoms Comments on How Competition Fosters Innovation to Keep Telecoms at the Heart of Economies
Developing Telecoms has participated in the session with Luc Hindryckx, Director General of European Competitive Telecommunications Association (ECTA), at the Huawei Better World Summit.
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Luc Hindryckx, Director General of European Competitive Telecommunications Association (Photo: Business Wire)
Over the past months, ECTA members have been working around the clock for the networks, services and their users. In a letter to the executive vice president Margrethe Vestager, the chairman of the European Commission Ursula von der Leyen,said: “in striving for digital leadership, we must focus on making the markets work better for consumers, businesses, and society, and that we must support industry to adapt to globalization and twin climate and digital transitions. We need companies that compete on equal terms, and consumers that can benefit from lower prices, greater choice, and better quality.”
A competitive telecoms and digital sector can be a driving force for all the sectors of the economy to successfully address the challenges. Ubiquitous high performance 5G, fibre, and comparable network technologies are increasingly understood to be essential common infrastructure.
France, one of the most competitive B2C markets in Europe, with four main integrated fixed/mobile MNOs along with several MVNOs and fibre deployment initiatives, has invested €10,4 Billion in Fixed and Mobile networks year on year for the last 5 years. This indicates the scale and importance of the investment needs, and that competition drives investment.
Competition also drives customer service. In Spain, Masmovil entered the Spanish market as a result of the remedies imposed by the European Commission, DG Competition. In an already well-served market it enabled them to successfully focus on customer service and progress to a leading position in the GFK net promoter score.
Unlike the last two decades, the new telecom policy focus for the next decade will be B2B. This will require a change in business approach from a focus on the consumer mass market to enabling business users across all industrial sectors, from start-ups to established conglomerates.
Developing Telecoms believes that digital transformation has never been so important as it is today for all sectors of the economy. The fear of cannibalizing the existing models is one of the biggest barriers to innovation for well established players. Developing Telecoms also thinks that sufficient competition in all elements of the value chain is most beneficial to society since competition forces market players to keep innovating.
About Developing Telecoms
Developing Telecoms is the leading online news portal for telecoms in emerging markets, delivering telecommunications news and information for senior management and decision makers at network operators, governments and end users. Developing Telecoms receives 2.2 million yearly page views and gets over 760,000 yearly online visitors. Its weekly emerging markets newsletter has over 40,000 subscribers. Developing Telecoms publishes a range of special reports about telecoms in emerging markets spanning topics including 5G, IoT, Smart Cities and Last Mile Connectivity.
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Alec Barton
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alec@developingtelecoms.com
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