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Romtelecom targets significant growth in term of Internet services

Romtelecom, the biggest operator of fixed telephony on the Romanian market, is targeting significant growth in terms of the Internet services.
The company announced recently the launch of 3 subscriptions of fixed telephony that include free Internet access for 1 year for the retail clients, and for the corporate clients the operator offers free laptops depending on the Internet speed they opt for.
Yorgos Ioannidis CEO of Romtelecomm, quoted by Business Standard, says the new offers will bring an important number of clients, and the Internet offer will accelerate the growth in terms of number of users on this segment, so that, gradually, the firm should become the main player on the market in terms of broadband. The company also wants to maintain the number of fixed-phone clients around 3 million.
The Romtelecom official believes the first results of the new offers will be felt in the company’s indicators towards the end of this year.
According to Ioannidis, Romtelecom will focus on the broadband services as these represent the future on the communications market. “Perhaps in a few years we will have 5 – 6 million broadband clients and much fewer fixed telephony ones. It is important for us to increase the total number of revenue-generating lines”, said Ioannidis.
Romtelecom had on 30 June 505,000 Internet users and 2.994 million fixed-telephony clients.

The decline in the number of company’s clients on the fixed-voice segment diminished from 18% to 3% in Q2 2008 against the same period in 2007.
RCS&RDS is currently the main player on the Internet services market, with 750,000 users.
Romtelecom won early this week a licence for using the mobile communication frequencies, which will enable the company to enter the mobile Internet market.
According to Ioannidis, the company could offer broadband mobile communication services starting with end-2008, in line with the offer submitted at the National Communications Regulatory Authority (ANRC).
He added the services the operator will offer based on the license would not compete the mobile solutions of Cosmote Romania.
Romtelecom and Cosmote Romania are controlled by the Greek group OTE.
Romtelecom will debut its mobile telephony services by the end of the current year, said Romtelecom director general Yorgos Ioannidis.
“The first stage of the investments intended for the launch of our mobile telephony services is due for completion towards the end of the current year. On Christmas Romtelecom’s offer of mobile communication services will be active,” specified Ioannidis. He added that investments would continue in the next two years to progressively cover the main national highways and gain nationwide coverage.Telecommunications operator Romtelecom won a bid for a license for mobile telephony services in the frequency ranges 410-415/420-425 MHz, for which it is to pay 1.077 million euros.
Romtelecom will start building the network for the supply of the mobile telephony services as soon as it gets possession of the license, further to the announcement made by the National Regulatory Authority for Communication and Information Technology (ANRCTI) that the license for mobile communication in the frequency ranges 410-415/420-425 Mhz was awarded to the operator.
ANRCTI announced on Monday that Romtelecom was designated winner of the bid for the new mobile communication license, with the highest score – 86. 21 points – out of 3 bidders.

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