French telecoms incumbent Orange has reported a slump in earnings and revenues for the three months ending September, with regulation and competition weighing heavily on the operator in its economically challenged European heartlands.
The operator witnessed a 4% drop in revenues, to €10.16 billion ($14 billion), and saw restated earnings before interest, taxation, depreciation and amortization (EBITDA) fall by 7%, to €3.37 billion, in its third quarter.
Programmable-chip maker Altera Corp forecast current-quarter revenue below Wall Street estimates, citing fewer orders for its telecom and wireless products, sending its shares down 5 percent after the bell.
Altera (San Jose, CA, USA), which also reported lower-than-expected sales for the quarter ended September 27, forecast current-quarter revenue to be down 3 percent to up 1 percent, compared with the third quarter.
That implies fourth-quarter revenue of between $432.5 million and $450.5 million.
Telecoms industry executives have rated interoperability as the key challenge they face in deploying superfast broadband networks, according to a recent survey conducted by Informa Telecoms & Media.
The market-research company surveyed a total of 237 so-called “broadband stakeholders” and said that 54% of respondents cited interoperability as one of the top three challenges they face, with 25% of operators viewing it as the main challenge.
UK operator EE says it has now signed up nearly 1.2 million 4G customers less than a year after first launching services, while reporting a decline in revenues for the three months ending September.
The company’s 4G progress means it has easily beaten an end-of-year target of capturing one million customers and now covers about 60% of the UK’s population with the high-speed technology.
Rivals Telefonica (Slough, UK) and Vodafone (Newbury, UK) launched 4G services at the end of August but have yet to extend networks outside a handful of the country’s biggest cities.
Telekom Austria Chief Executive Hannes Ametsreiter said on Friday he did not expect key shareholder Carlos Slim's America Movil to make any unfriendly moves towards the Austrian company.
"The Mexicans have shown themselves to be good partners. One thing I think they won't do is to act in a hostile way. I think you can rule that out," he told the Gewinn Messe retail investor fair.
He added he did not know if America Movil (Mexico City, Mexico) intended to increase its near 23 percent stake.
Erstwhile Telecom Italia chief executive Franco Bernabe has resigned from his role as chairman of the GSM Association.
The move was expected, coming shortly after Bernabe stood down from his position as chairman and chief executive of Italian phone incumbent Telecom Italia (Milan, Italy).
Spain’s Telefonica may find it difficult to sell its Czech subsidiary to PPF Group for a satisfactory price, according to Bloomberg.
The operator this week revealed it was in discussions with the investment group, owned by Czech billionaire Petr Kellner, as it considers “strategic alternatives” for Telefonica Czech Republic, in which it currently holds a stake of about 70%.
The number of mobile phone connections in Spain increased for a fourth straight month in August, data published on Tuesday showed, marking a tentative recovery after two years of client losses.
Cash-strapped consumers in Spain, where one in four of the workforce is jobless, have been cutting mobile usage and switching to cheaper deals to save money as recession dragged on. Yet the economy is expected to have returned to growth in the second half of the year, prompting a gentle pick-up in consumer confidence.
Spanish telecoms incumbent Telefonica has acknowledged it is exploring “strategic alternatives” for its Czech subsidiary in a stock exchange filing.
The statement came in response to press speculation that Telefonica (Madrid, Spain) is planning to sell its 70% stake in Telefonica Czech Republic in a deal that could raise as much as $3.6 billion for the debt-burdened Spanish operator, based on the subsidiary’s current market value.
The UK’s Vodafone has completed its €7.7 billion ($10.43 billion) takeover of Kabel Deutschland, according to a statement on the German cable company’s website.
The deal puts Vodafone (Newbury, UK) in control of 76.57% of Kabel Deutschland’s (Unterfoehring, Germany) shares and will aid its push into Germany’s high-speed broadband market and allow it to better compete against telecoms incumbent Deutsche Telekom (Bonn, Germany) on bundled packages that include fixed, broadband and mobile services.