- Smartphone ownership has proliferated rapidly in Switzerland, with Orange reporting smartphone penetration reached 67% in its subscription base by the end of 2013.
- ARPU levels continued to decline in Q114 with Swisscom recording 2.56%, Orange 27% and Sunrise 4.61% drop quarter-on-quarter (q-o-q). This was primarily attributed to a fall in mobile telephony prices in 2013.
- The OECD released data for dedicated mobile subscription penetration at the end of 2012, showing growth was slightly below our forecast. We believe this is likely the result of customers deferring subscriptions as they wait for LTE services to become more widely available.
Key Trends And Developments
Albeit the net number of subscribers in Q114 increased, only Swisscom was able to post year-on-year (y-o-y) revenue gains. Sunrise's acquisition of Lebara Mobile and Ortel in 2013, and investments into new LTE and LTE-A networks is fast eroding network operator's profit margins. The Swiss telecommunication market is getting increasingly more segregated, but 3G and 4G services with internet capacity offer scope for growth. All network providers are putting efforts into expanding LTE networks to compete for data services, but high CAPEX commitments and decreasing prices as a result of higher competition could result in fall of ARPU and...
The Switzerland Telecommunications Report features Business Monitor International (BMI)'s independent industry forecasts on the future strength of Switzerland's ICT market, covering the fixed-line, mobile and internet segments and analyses latest regulatory developments and corporate news, including investment activity, mergers and acquisitions, joint ventures and partnerships. Leading operators and manufacturers are fully profiled, highlighting their quarterly financial performance, capital expenditure plans and latest contracts.
BMI's Switzerland Telecommunications Report provides industry professionals and researchers, operators, equipment suppliers and vendors, corporate and financial services analysts and regulatory bodies with independent forecasts and competitive intelligence on the telecoms industry in Switzerland.Key Benefits
CoverageBMI Industry View
- Benchmark BMI's independent telecoms industry forecasts for Switzerland to test other views - a key input for successful budgeting and strategic business planning in the Swiss telecoms market.
- Target business opportunities and risks in Switzerland's telecoms sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in Switzerland.
- Assess the activities, strategy and market position of your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity).
Summary of BMI's key industry forecasts and views, covering the ICT, fixed-line, mobile (including 3G), internet and broadband markets.Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the wireline and wireless sectors and within the broader political, economic and business environment.Business Environment Rankings
BMI's Telecommunications Business Environment Rankings provides a country-comparative Risk-Reward Rankings index aimed at investors (vendors, operators and suppliers) in the regional telecoms market.
The rankings methodology makes sophisticated use of more than 40 industry, economic and demographic data points.BMI Industry Forecast Scenario
Historic data series and forecasts to end-2018 for all key industry indicators (see list below) supported by explicit assumptions, plus analysis of key downside risks to the main forecast.
Market Data Analysis
- Fixed-Line Telephony - Telephone lines ('000); telephone lines/100 inhabitants.
- Cellular Telephony - Mobile phone subscribers ('000); mobile phone subscribers/100 inhabitants; mobile phone subscribers/100 fixed line subscribers.
- Internet Markets - Internet users ('000); internet users/100 inhabitants; broadband internet subscribers ('000); broadband internet subscribers/100 inhabitants.
Detailed market analysis of the mobile, mobile content, fixed line and internet segments, broken down into:
- Market Data - Analysis of market size, operator shares, dominant trends, competitive landscape and key quarterly data.
- Technology/Service Rollout - Analysis of rollout/adoption of new technology, such as 3G, WiMAX, IPTV, pay-TV, LTE and value-added handset services (gaming, music, video, apps etc.).
- Mobile Content - The latest trends in content and services available and being introduced by mobile operators. Including a timeline of all the latest major mobile content developments.
- Company Database - A comprehensive breakdown of KPIs of the leading mobile operators, including subscriber figures by type (pre-paid and post-paid); 3G subscriber figures; net additions; market share; ARPU; churn rates; minutes of use; voice and non-voice revenue; financial figures (including operating revenues, net profits and EBITDA).
Details of the regulatory bodies and their responsibilities, as well as a special focus on the rules surrounding competition and interconnection. The latest updates in the market's development and regulatory rulings.Company Profiles
Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI's industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate Company SWOT analyses.
The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.
Switzerland's relative economic wealth has driven investment by operators in infrastructure, with the incumbent Swisscom investing in fibre and launching LTE in 2012. The competition has also been investing in LTE, with all three mobile network operators offering commercial services since June 2013. High capital expenditure into new infrastructure and increasing competition for data services will be eroding the profit margins for all main operators in short-term, but we still expect the market to expand until the end of the forecast. Meanwhile, fixed-line telephony services will continue to be displaced by more modern IP alternatives.