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Press Release

Dutch fixed telephony revenues fall 2.5% in Q2 2016

Houten, The Netherlands, 14 September 2016 - The fixed telephony market in the Netherlands continued to contract in the second quarter, with revenues* falling to EUR 280 million, according to Telecompaper's latest Dutch Fixed Telephony Market report. The 2.5 percent quarterly decline was an improvement on the 4.6 percent drop during the first quarter. The drop in revenues, underway since 2013, is due to lower usage and falling prices.

The number of fixed telephony connections in the Netherlands was stable at almost 6.3 million at the end of Q2, as a 5 percent decrease in PSTN lines was compensated by 0.5 percent growth in digital phone lines.

Digital lines reached nearly 5.6 million on 30 June 2016. The strongest growth in the quarter came from VoIP users on fibre networks, which increased by 4.2 percent compared to March to around 866,000. DSL VoIP users also increased, by 0.3 percent to 2.07 million, while cable VoIP customers dropped by 0.2 percent to 2.66 million lines.

Telecompaper expects a similar pattern in the coming years on the fixed telephony market. “Growth in VoIP over DSL and fibre broadband is not expected to compensate completely for the decrease in traditional landlines and the slow decline in cable phone lines,” said Kamiel Albrecht, Telecompaper analyst and author of the report. “As KPN’s price level for DSL/fibre VoIP is effectively zero compared to EUR 12-21 per month for traditional telephony, the revenues from fixed telephony will continue to decline.”

Over the period 2016-2020, Telecompaper forecasts a compound annual growth rate of -0.3 percent in the number of fixed lines in the Netherlands and -4 percent in fixed telephony revenues.

Notes to editors

 

*The retail revenues include access and usage revenues from PSTN/ISDN/CPS/WLR services as well as VoIP services via cable, DSL and FTTH networks. It excludes revenues from unmanaged VoIP services like Skype, as well as installation fees and equipment sales.

Due to continuous improvement in our calculations, the numbers in this press release cannot be directly compared with numbers from earlier press releases sent out by Telecompaper on previous studies of the Dutch fixed telephony market.

Telecompaper’s ‘Dutch Fixed Telephony 2016 Q2’ report provides detailed figures for Q2 2016 and five-year forecasts for subscriptions, revenues, and provider and technology market shares. Price for 10 users is EUR 795.00. Single-user price for the report is EUR 495.00.

Telecompaper

 

Telecompaper is a respected, independent market researcher and news agency focusing on the national and international Technology, Media and Telecom (TMT) sector. Telecompaper provides its customers with information, insight, analysis and news. National and international businesses, organisations and government bodies use our information to make decisions across all organisational levels and to help develop their policies. For more information, please visit our website at www.telecompaper.com.

Contact:

Kamiel Albrecht
Research analyst
Phone: +316349661
Email: kamiel@telecompaper.com



Categories: Fixed
Countries: Netherlands