Romania telecom industry to reach RON13.4bn in 2012: Research and Markets

Telecom Lead Europe:  It is expected that the telecommunication market of
Romania will generate RON13.4 billion ($4.2 billion) in service revenue in

A research study of Research and Markets says that the Romanian telecom market is
shrinking due to the country’s complex economic situation. Recently, the
Romanian regulator has imposed cuts on interconnection and roaming charges,
which will further impact the market.

Meanwhile, Research and Markets expects that the market will grow at a 1.9 percent CAGR in
local currency and around 2.7 percent in USD terms over the next five years to
reach RON14.7 billion ($4.8 billion) in service revenue.

According to a report from Pyramid Research, LTE networks are expected to launch
in Romania in 2013 and are predicted to attract 830,000 subscribers
by 2017. It is expected that the auction for LTE technology will take place
later in 2012.

The market analysis firm expects the new license tenders for 3G and 4G networks to
spur strong uptake in mobile data services.

Research and Markets says that mobile data will become the second largest
revenue-generating segment by 2017. Also, the cumulative service revenue
opportunity will reach RON11.4 billion ($3.6 billion) over the forecast period.

In 2012, the research firm said that both business and residential customers
started looking into cost optimization, due to the difficult macroeconomic
conditions in the country, which led to a decline fixed market.

In addition, the customers in Romania migrated to cheaper options such as VoIP.

Huawei to invest EUR 200 million in Romania by 2014

Huawei is likely to invest nearly EUR 200 million in Romania by 2014, with its main
investment projects to be a Huawei European Design Centre at Pipera and a
nationwide fiber optic network, jointly with Romania’s Transelectrica, according to data with the
Romanian Ministry of Commerce.

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