2006-2007 Europe - Telecoms, Mobile and Broadband in Spain and Portugal

• Market and industry analyses, trends and developments
• Facts, figures and statistics
• Industry and regulatory issues
• Research, Marketing, Benchmarking
• Major Players, Revenues, Subscribers, Prepaid
• VoIP, IPTV, VoD, digital TV and DTTV
• Converged media

1. SPAIN

1.1 Key statistics

1.2 Telecommunications market

1.2.1 Overview of Spain’s telecom market

1.3 Regulatory environment

1.3.1 History

1.3.1.1 EU Regulatory Framework

1.3.1.1.1 Framework Directive

1.3.1.1.2 Authorisation Directive

1.3.1.1.3 Access Directive

1.3.1.1.4 Universal Service Directive

1.3.2 Regulatory authority

1.3.2.1 Telecommunications Market Commission (CMT)

1.3.3 Telecom sector liberalisation in Spain

1.3.3.1 Privatisation of Telefónica

1.3.3.2 Interconnect

1.3.3.3 Access

1.3.3.4 Number portability

1.3.3.5 Carrier PreSelection (CPS)

1.4 Fixed network operators in Spain

1.4.1 Regulatory issues

1.4.2 Telefónica

1.4.3 The Auna Group

1.4.4 Orange

1.4.5 Tele2

1.4.6 Jazztel

1.4.7 ONO

1.4.8 Comunitel

1.5 Telecommunications infrastructure

1.5.1 National telecom network

1.5.2 Next Generation Networks (NGN)

1.5.3 International infrastructure

1.5.3.1 Satellite networks

1.5.3.1.1 Hispasat

1.5.3.1.2 SPAINSAT

1.6 Broadband

1.6.1 Overview

1.6.1.1 Broadband statistics

1.6.1.2 Broadband forecasts to 2015

1.6.1.2.1 Scenario 1 - stronger broadband subscriber growth

1.6.1.2.2 Scenario 2 - weaker broadband subscriber growth

1.6.1.3 Government initiatives

1.6.1.3.1 Education focus

1.6.1.3.2 State government

1.6.1.3.3 Catalonia government initiative

1.6.1.3.4 Navarre government initiative

1.6.2 Cable modems

1.6.3 Asymmetrical Digital Subscriber Line (ADSL)

1.6.3.1 ADSL2+

1.6.4 Fibre-to-the-Home (FttH) networks

1.6.5 Wireless broadband

1.6.5.1 Wireless Local Loop (WLL)

1.6.5.2 WiFi

1.6.5.3 WiMAX

1.6.5.4 Internet via satellite

1.6.6 Broadband Powerline (BPL)

1.7 Convergence

1.7.1 Overview of media convergence

1.7.2 Key general trends

1.7.3 Triple play models

1.7.4 Regulatory issues

1.7.4.1 VoIP

1.7.5 Digital TV

1.7.5.1 Regulatory environment

1.7.5.2 Digital Terrestrial TV (DTTV)

1.7.5.2.1 Analogue switch-off

1.7.5.2.2 RTVE reform - 2005

1.7.5.2.3 Decoder standards

1.7.5.3 Free-to-air (FTA) TV

1.7.5.4 VoIP

1.7.5.5 TV-over-DSL (IPTV)

1.7.5.5.1 Telefónica

1.7.5.5.2 Auna

1.7.5.5.3 Jazztel

1.7.5.5.4 Orange

1.7.5.5.5 Grupalia

1.7.5.6 Cable TV (CATV)

1.7.5.6.1 Digital cable TV

1.7.5.6.2 ONO

1.7.5.6.3 Auna and ONO merger

1.7.5.7 Satellite-based digital pay TV developments

1.7.5.7.1 Digital satellite TV

1.7.5.7.2 Digital+

1.7.5.7.3 Sogecable

1.8 Mobile communications

1.8.1 Overview of Spain’s mobile market

1.8.1.1 Mobile statistics

1.8.1.1.1 Operator market shares

1.8.2 Regulatory issues

1.8.2.1 Spectrum regulations and spectrum auctions

1.8.2.1.1 Network sharing

1.8.2.1.2 Spectrum trading

1.8.2.1.3 New licence auction

1.8.2.2 Roaming

1.8.2.3 Number portability

1.8.2.4 Fixed-to-mobile call charges

1.8.3 Mobile technologies

1.8.3.1 Analogue

1.8.3.2 Digital

1.8.3.3 Third Generation (3G) mobile

1.8.3.3.1 Start of UMTS services

1.8.3.3.1.1 Vodafone

1.8.3.3.1.2 Telefónica Móviles

1.8.3.3.1.3 Orange (Amena)

1.8.3.3.1.4 Xfera

1.8.3.4 Mobile handsets

1.8.4 Major mobile operators

1.8.4.1 Telefónica Móviles

1.8.4.2 Vodafone

1.8.4.3 Orange (Amena)

1.8.4.4 MVNOs

1.8.5 Mobile voice services

1.8.5.1 Prepaid

1.8.6 Mobile data services

1.8.6.1 Short Message Service (SMS)

1.8.6.2 Multimedia Messaging Service (MMS)

1.8.6.3 Music share

1.8.6.4 Mobile email

1.8.6.5 Wireless Application Protocol (WAP)

1.8.6.6 General Packet Radio Service (GPRS)

1.8.6.7 Push-to-Talk (PTT)

1.8.6.8 High Speed Downlink Packet Access (HSDPA)

1.8.6.8.1 Telefónica

1.8.6.8.2 Vodafone

1.8.6.8.3 Orange

1.8.6.9 BlackBerry

1.8.6.10 i-Mode

1.8.6.11 Mobile TV

2. PORTUGAL

2.1 Key statistics

2.2 Telecommunications market

2.2.1 Overview of Portugal’s telecom market

2.3 Regulatory environment

2.3.1 History

2.3.2 Regulatory authority

2.3.2.1 National Communications Authority

2.3.3 Telecom sector liberalisation in Portugal

2.3.3.1 Privatisation of Telecom Portugal

2.3.3.2 EU Regulatory framework

2.3.3.2.1 Framework Directive

2.3.3.2.2 Authorisation Directive

2.3.3.2.3 Access Directive

2.3.3.2.4 Universal Service Directive

2.3.3.3 Interconnect

2.3.3.4 Access

2.3.3.4.1 Subscriber Line Resale Offer (SLRO)

2.3.3.5 Carrier PreSelection (CPS)

2.3.3.6 Number Portability (NP)

2.3.3.7 Wholesale Line Rental (WLR)

2.4 Fixed network operators in Portugal

2.4.1 Overview of operators

2.4.2 Portugal Telecom

2.4.2.1 Incumbent market share

2.4.3 Oni

2.4.4 Novis

2.4.5 Sonaecom

2.4.6 Jazztel

2.4.7 AR Telecom

2.5 Telecommunications infrastructure

2.5.1 National telecom network

2.5.2 Structural separation

2.5.3 International infrastructure

2.5.4 Infrastructure developments

2.5.4.1 Broadband Powerline (BPL)

2.5.4.2 Nationwide TETRA system

2.6 Broadband

2.6.1 Overview

2.6.1.1 Broadband statistics

2.6.1.2 Broadband forecasts to 2015

2.6.1.2.1 Scenario 1 - stronger broadband subscriber growth

2.6.1.2.2 Scenario 2 - weaker broadband subscriber growth

2.6.2 Cable modems

2.6.3 Asymmetrical Digital Subscriber Line (ADSL)

2.6.3.1 Wholesale

2.6.3.2 Wholesale prices and retail price difference

2.6.3.3 ATM access

2.6.4 Fibre-to-the-Home (FttH) networks

2.6.5 Wireless broadband

2.6.5.1 Wireless Local Loop (WLL)

2.6.5.2 WiFi

2.7 Convergence

2.7.1 Overview of media convergence

2.7.2 Triple play models

2.7.3 Digital TV

2.7.3.1 Digital terrestrial TV (DTTV)

2.7.3.2 Free-to-air (FTA) TV

2.7.3.3 VoIP services

2.7.3.4 TV-over-DSL (IPTV)

2.7.3.5 Cable TV (CATV)

2.7.3.6 Direct to Home (DTH) TV

2.7.3.7 Satellite-based digital pay TV developments

2.7.3.7.1 Digital satellite TV

2.8 Mobile communications

2.8.1 Overview of Portugal’s mobile market

2.8.1.1 Mobile statistics

2.8.1.1.1 Operator market shares

2.8.2 Regulatory issues

2.8.2.1 Spectrum regulations and spectrum auctions

2.8.2.1.1 GSM licence renewal

2.8.2.1.2 3G

2.8.2.2 Roaming

2.8.2.3 Number portability

2.8.2.4 Fixed-to-mobile call charges

2.8.2.5 Mobile interconnection

2.8.2.6 Health concerns

2.8.2.7 Tariff clarity

2.8.3 Mobile technologies

2.8.3.1 Digital

2.8.3.2 Third Generation (3G) mobile

2.8.4 Major mobile operators

2.8.4.1 TMN

2.8.4.2 Vodafone

2.8.4.3 Optimus

2.8.4.4 OniWay exits the market

2.8.4.5 Mobile Virtual Network Operators (MVNOs)

2.8.5 Mobile voice services

2.8.5.1 Prepaid

2.8.5.2 Fixed-Mobile convergence

2.8.6 Mobile data services

2.8.6.1 Short Message Service (SMS)

2.8.6.2 Multimedia Messaging Service (MMS)

2.8.6.3 Wireless Application Protocol (WAP)

2.8.6.4 General Packet Radio Service (GPRS)

2.8.6.5 High Speed Downlink Packet Access (HSDPA)

2.8.6.6 Push-to-Talk

2.8.6.7 Mobile TV

2.8.6.8 Location based services

3. GLOSSARY OF ABBREVIATIONS

LIST OF TABLES

Table 1 - Country statistics Spain - 2006

Table 2 - Telecom revenue and investment statistics - 2005

Table 3 - Telephone network statistics - March 2006

Table 4 - Internet user statistics - September 2006

Table 5 - Broadband statistics - March 2006

Table 6 - Mobile statistics - June 2006

Table 7 - National telecommunications authority

Table 8 - Telecom revenue share by sector - 2005

Table 9 - Fixed-line and mobile revenue - 2002 - 2005

Table 10 - Fixed-line market share - 2005

Table 11 - Telecom investment share by sector - 2005

Table 12 - Telecom revenue by sector - 2005 - 2006

Table 13 - Proportion of fixed-line and mobile traffic - 2000 - 2005

Table 14 - Telecoms revenue by sector - 2002 - 2005

Table 15 - Interconnection traffic share by operator - 2005

Table 16 - Unbundled loops and access lines - 2004 - 2006

Table 17 - LLU, shared access price − connection, monthly rental - 2004 - 2005

Table 18 - Proportion of access lines, by operator or type - 2003 - 2006

Table 19 - Ported fixed-line numbers - 2002; 2004 - 2006

Table 20 - Carrier preselection lines by type financial statistics - August 2006

Table 21 - Telefónica Group financial statistics and annual change - 2005

Table 22 - Telefónica Group financial statistics and annual change - 2005 - 2006

Table 23 - Telefónica España financial statistics and annual change - H1 2006

Table 24 - Telefónica’s fixed-line statistics -2004 - 2005

Table 25 - Auna Group operating statistics - 2000 - 2004

Table 26 - Orange fixed telephony lines and annual change - 2005 - 2006

Table 27 - Jazztel financial statistics and annual change - 2005 - 2006

Table 28 - Jazztel operating statistics and annual change - 2005 - 2006

Table 29 - ONO operating statistics - 2001 - 2005

Table 30 - ONO financial statistics - 2005 - 2006

Table 31 - ONO subscriber statistics and annual change - 2005 - 2006

Table 32 - Fixed lines in service and penetration - 1995 - 2006

Table 33 - Broadband access lines by operator/technology - 2005 - 2006

Table 34 - Broadband access growth by operator/technology - 2004 - 2006

Table 35 - Broadband access share by operator / sector - September 2006

Table 36 - Internet users and penetration - 1996 - 2006

Table 37 - Total broadband subscribers by access type and penetration - 2001 - 2006

Table 38 - Annual growth of broadband by technology - 2004 - 2006

Table 39 - Share of broadband lines, by operator/technology - 2003 - 2006

Table 40 - Share of broadband accesses by operator - 2004 - 2005

Table 41 - Broadband market share by operator - 2005

Table 42 - Internet market share by operator - 2005

Table 43 - Broadband penetration by technology - 2004 - 2006

Table 44 - Forecast broadband subscriber growth - stronger market growth scenario - 2005 - 2010;

2015

Table 45 - Forecast broadband subscriber growth - weaker market growth scenario - 2005 - 2010;

2015

Table 46 - Share of cable accesses - 2005

Table 47 - Cable modem subscribers - 2000 - 2005

Table 48 - ONO subscriber statistics and annual change - 2005 - 2006

Table 49 - ONO cable RGUs and annual change - 2005 - 2006

Table 50 - Telefónica broadband and dial-up subscribers and annual change − 2005 - 2006

Table 51 - Telefónica wholesale broadband accesses and annual change − 2005 - 2006

Table 52 - ADSL subscribers - 2000 - 2006

Table 53 - Share of ADSL accesses by operator - 2005

Table 54 - WiFi subscribers by main cities - June 2006

Table 55 - Proportion of subscribers taking bundled services, by operator − 2005

Table 56 - Bundled subscribers by operator − 2005

Table 57 - Statistical overview of Spain’s broadcasting market − 2005

Table 58 - TV revenue by technology − 2002 - 2005

Table 59 - Pay TV subscribers by technology (%) − 2005

Table 60 - Digital TV subscribers by operator − 2003 - 2005

Table 61 - Telefónica IPTV subscribers - 2005 - 2006

Table 62 - Cable TV subscribers - 1996 - 2005

Table 63 - ONO operating and subscriber statistics and annual change - 2005 - 2006

Table 64 - ONO financial statistics - Q1 2006 - Q2 2006

Table 65 - Satellite TV subscribers - 1997 - 2005

Table 66 - Sogecable financial statistics and annual change - 2005 - 2006

Table 67 - Consolidated financial statistics: Sogecable, pay TV, Cuatro - June 2006

Table 68 - Sogecable digital and analogue subscribers - 2002 - 2006

Table 69 - ARPU: contract, prepaid and total; all operators - 2001 - 2005

Table 70 - Mobile subscribers by operator and annual growth - June 2006

Table 71 - Mobile subscribers and penetration - 1996 - 2006

Table 72 - Operators’ subscriber market share - 2004 - 2006

Table 73 - Operators’ share of net adds - 2005 - 2006

Table 74 - Cumulative ported mobile numbers - 2005 - 2006

Table 75 - Operators’ ported mobile numbers - July 2006

Table 76 - Total ported mobile numbers by operator - August 2006

Table 77 - Mobile termination charges - 2005

Table 78 - Mobile termination charges by operator - 2006 - 2008

Table 79 - Telefónica Móviles operating statistics and annual change - 2005 - 2006

Table 80 - Vodafone mobile subscriber statistics - 2005 - 2006

Table 81 - Prepaid subscribers (%) by operators - 2005 - 2006

Table 82 - WAP revenue - 2005 - 2006

Table 83 - GPRS revenue - 2005 - 2006

Table 84 - Country statistics Portugal - 2006

Table 85 - Telephone network statistics - June 2006

Table 86 - Internet user statistics - September 2006

Table 87 - Broadband statistics - March 2006

Table 88 - Mobile statistics - June 2006

Table 89 - National telecommunications authority

Table 90 - Telecom market revenue; fixed-line; mobile - 2002 - 2004

Table 91 - Unbundled loops and access lines - 2004 - 2006

Table 92 - Number and type of access lines - 2004 - 2006

Table 93 - LLU, shared access price − connection and monthly rental - 2004 - 2005

Table 94 - Fixed telephone customers and access type and shared access lines - 2004 - 2005

Table 95 - Portugal Telecom’s share of voice customers, by type - 2005 - 2006

Table 96 - Fixed-line ported numbers - 2003 - 2006

Table 97 - Portugal Telecom financial statistics and annual change - 2005 - 2006

Table 98 - Portugal Telecom multimedia statistics and annual change - Q1 2006

Table 99 - Portugal Telecom operating statistics - 2004 - 2006

Table 100 - Portugal Telecom share of access lines - 2004 - 2006

Table 101 - Fixed network voice traffic - 2001 - 2006

Table 102 - Sonaecom operating statistics and annual change - 2003 - 2006

Table 103 - Sonaecom subscriber statistics, customer revenue and annual change - 2003 - 2005

Table 104 - Sonaecom fixed operational KPIs and annual change - H1 2006

Table 105 - Fixed lines in service and teledensity - 1995 - 2006

Table 106 - Internet subscribers and penetration - 1997 - 2006

Table 107 - Internet host computers - 1998 - 2004

Table 108 - Internet subscribers by access type - 2005 - 2006

Table 109 - Broadband subscribers by access type and annual change - 2006

Table 110 - Broadband and dial-up subscribers and annual change - 2006

Table 111 - Total broadband subscribers by type and penetration - 2000 - 2006

Table 112 - Proportion of broadband subscribers by access type - 2004 - 2006

Table 113 - Broadband penetration growth by access type - 2004 - 2006

Table 114 - Portugal Telecom share of broadband access - 2004 - 2006

Table 115 - Data transmission services - 2005 - 2006

Table 116 - Portugal Telecom broadband statistics, retail and wholesale- 2004 - 2006

Table 117 - Forecast broadband subscriber growth - stronger market growth scenario - 2005 - 2010;

2015

Table 118 - Forecast broadband subscriber growth - weaker market growth scenario - 2005 - 2010;

2015

Table 119 - TV Cabo cable broadband subscribers - 2004 - 2006

Table 120 - Portugal Telecom wholesale accesses - 2004 - 2006

Table 121 - Broadcasting statistics - June 2006

Table 122 - TV Cabo subscribers by sector - 2005

Table 123 - TV Cabo operating statistics - 2004 - 2006

Table 124 - Cabovisão operating statistics - 2005

Table 125 - Statistical overview of cable TV market - 1998 - 2006

Table 126 - Cabled households and subscribers by region - March 2006

Table 127 - Percentage of cabled subscribers by region - June 2006

Table 128 - Percentage of cabled subscribers by region and annual change - June 2006

Table 129 - DTH subscribers - Q3 2005

Table 130 - Statistical overview of satellite TV market - 1998 - 2006

Table 131 - Mobile subscribers by operator and annual change - June 2006

Table 132 - Mobile subscribers and penetration - 1996 - 2006

Table 133 - Mobile operators’ market share - 2004 - 2006

Table 134 - Mobile operators’ share of net adds - 2005 - 2006

Table 135 - Roaming call traffic volume, quartley and annual changes - June 2006

Table 136 - Fixed-line ported numbers - 2004 - 2006

Table 137 - TMN operating statistics and annual change - 2005 - 2006

Table 138 - Optimus mobile subscribers - 2003 - 2006

Table 139 - Optimus operating statistics and annual change - Q2 2006

Table 140 - Optimus financial statistics and annual change - H1 2006

Table 141 - Prepaid subscribers percentage, by operator - July 2006

Table 142 - Prepaid market share, all providers - 2003 - 2006

Table 143 - SMS, quarterly and annual changes - 2004 - 2006

Table 144 - WAP traffic - 2002 - 2003

LIST OF EXHIBITS

Exhibit 1 - Narrowband and broadband wireless licensees - 2005

Exhibit 2 - 3G licence results - March 2000