annual report 2011 - Konkurentsiamet

The retail market of the mobile telephone service was characterised by a decrease in turnover in
2011. However, the number of end-users (regarded as active according to the use of SIM cards)
increased by approximately 13.1%.
The mobile telephone service market has reached the matured market stage where the existing
customer base is being redistributed among service providers. The share of the mobile telephone
service within the total turnover of the electronic communications market decreased by 2%
compared to 2010. The growth of the number of customers using the fast mobile broadband
connection service and of the volumes of data communication used by customers had a positive
effect on the turnover.
The market of the interconnection service incorporates the interconnection service on the basis
of fixed telephone networks as well as mobile telephone networks. The share of the
interconnection service within the total turnover of the electronic communications market
decreased by 1.4% whereas the turnover of the interconnection service decreased by 7%. The
decrease of the turnover of the interconnection service in 2011 was influenced by the decrease in
call termination charges in mobile telephone networks and the decrease of terminated call
volumes in fixed communication networks, which amounted to 14% compared to 2010.
The turnover of the access service amounted only to a minimum share of the total turnover of
the electronic communications market in 2011, reaching a mere 0.1%, and remained almost the
same compared to 2010.
The number of end-users of the fixed broadband service in the data communications market
remained in the same range as it was in 2010 whereas the turnover of the service decreased by
1%. Compared to earlier years, the growth of the number of end-users has ceased, which may be
related to the economic recession. At the same time, the developing mobile broadband
technology provides more and more intensive competition for the fixed broadband service. The
use of broadband services providing a higher speed of data connection has become wider.
Judging by the turnover of services, the market of the leased line service forms the smallest
market in the electronic communications sector with a slight decrease in the consumption of
services and turnovers in 2011. At the same time, the turnover of the cable television service
increased by 5% whereas the number of consumers increased by 4% in 2011, which mainly
resulted from the growth in the numbers of the consumers of the IPTV service provided by
Elion.
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