Vodafone tests OTT TV, femtocells on Australian fibre

Tuesday 20 December 2011 | 13:32 CET | Market Commentary

While the market circumstances may be different, Vodafone as a group will gain an interesting experience in Australia. In Australia, it has little experience on the fixed-line market compared to countries such as the Netherlands or Germany. While it is skipping the passive infrastructure, it plans to invest significantly in fixed services. The company is due a compliment, as it saw early that traditional income from mobile voice and SMS was in decline and introduced competitive data bundles. It also drew another important conclusion: fixed services need to be offered alongside mobile services. This is a new market for Vodafone that is providing growth and does not cannibalise its existing services. 

What's interesting about the Australian test is that both OTT services and femtocells are also being tested: value-added services that ensure a good utilisation of the network capacity and distinguish the company from the competition. As a mobile operator, Vodafone profits from offloading to the femtocells. This experience (and those in other countries) will be shared across the group and help the traditonally mobile-only company position itself well on the fixed market. In the Netherlands, its recently launched fixed services over fibre (on Reggefiber networks) is still a 'me too' offering, but the addition of more services is likely only a question of time.  With the bandwidth on offer, intensive services such as on-demand video will ensure that fibre stands out compared to existing infrastructures. 

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