Hungary’s MNOs prepare for imminent multi-spectrum auction for 5G services

Sydney, April 25, 2020 (GLOBE NEWSWIRE) -- Just released, this edition of Paul Budde Communication’s focus report on Hungary outlines the major developments and key aspects in the telecoms markets.
Read the full report: https://www.budde.com.au/Research/Hungary-Telecoms-Mobile-and-Broadband-Statistics-and-Analyses

This report provides a comprehensive overview of trends and developments in Hungary’s telecommunications market. The report analyses the fixed-line, mobile and broadband sectors. Subjects include:

• Market and industry analyses, trends and developments;
• Facts, figures and statistics;
• Industry and regulatory issues;
• Infrastructure developments;
• Major Players, Revenues, Subscribers, ARPU, MoU;
• Mobile Voice and Data Markets;
• Broadband (FttP, DSL, cable, wireless);
• Mobile subscribers and ARPU;
• Broadband market forecasts;
• Government policies affecting the telecoms industry;
• Market liberalisation and industry issues;
• Telecoms operators – privatisation, IPOs, acquisitions, new licences;
• Mobile technologies (GSM; 3G, HSPA, LTE, 5G).

Researcher:- Henry Lancaster
Current publication date:- May 2014 (13th Edition)
Researcher:- Henry Lancaster
Current publication date:- October 2019 (18th Edition)

Executive Summary

Hungary’s MNOs prepare for imminent multi-spectrum auction for 5G services

As in many other markets in the region, in Hungary the number of fixed-lines, as also fixed-line revenue, has been affected by the changing consumer use of such services and by the trend for fixed-to-mobile substitution. Operators have thus looked to bundled services to boost revenue, a strategy which encouraged Vodafone Group to acquire UPC Hungary in mid-2019.

Hungary benefits from one of the most developed telecom infrastructures in the region. Services based on 5G are anticipated shortly after the multi-spectrum auction to be held in November 2019, while the incumbent telco Maygar Telecom, which already provides a gigabit service to over a third of premises, is fast replacing its legacy copper networks with fibre.

The broadband market has effective infrastructure-based competition, with an extensive cable network competing against DSL services and a vibrant and rapidly expanding fibre sector. The regulator has also introduced a number of measures aimed at promoting market competition, which is pushing the drive for higher speed platforms and encouraging operators to invest in technology upgrades with a focus on fibre deployments. As a result, Hungary now has the highest fixed broadband penetration in Eastern Europe, and by mid-2019 superfast networks accounted for about 72% of all fixed broadband connections.

The dynamic mobile market is served by three mobile network operators and a small number of MVNOs. Mobile penetration is relatively high for the region, and there remains considerable growth in mobile broadband services delivered via upgraded networks. Revenue growth is focused on mobile data as operators struggle with competition and regulated tariff reductions, as well as reduced MTRs.

Maygar Telekom is at the forefront of 5G developments, supported by the government, universities, other telcos and vendors forming the Hungarian 5G Coalition. 5G services from all three network operators are expected in 2020.

This report provides an overview of Hungary’s telecoms market, highlighting regulatory developments, the major operators, fixed-line network infrastructure and a range of statistics. The report also covers the mobile voice and data sectors, including a review of regulations and operator strategies for adopting new technologies. In addition, the report reviews the fixed and wireless broadband market, including market analyses, statistics and subscriber forecasts to 2024.

BuddeComm notes that the outbreak of the Coronavirus in 2020 is having a significant impact on production and supply chains globally. During the coming year the telecoms sector to various degrees is likely to experience a downturn in mobile device production, while it may also be difficult for network operators to manage workflows when maintaining and upgrading existing infrastructure. Overall progress towards 5G may be postponed or slowed down in some countries.

On the consumer side, spending on telecoms services and devices is under pressure from the financial effect of large-scale job losses and the consequent restriction on disposable incomes. However, the crucial nature of telecom services, both for general communication as well as a tool for home-working, will offset such pressures. In many markets the net effect should be a steady though reduced increased in subscriber growth.

Although it is challenging to predict and interpret the long-term impacts of the crisis as it develops, these have been acknowledged in the industry forecasts contained in this report.

The report also covers the responses of the telecom operators as well as government agencies and regulators as they react to the crisis to ensure that citizens can continue to make optimum use of telecom services. This can be reflected in subsidy schemes and the promotion of tele-health and tele-education, among other solutions.

Key developments:

• Vodafone Group acquires UPC Hungary from Liberty Global;
• Telcos strike deal with the government to extend broadband to underserved areas;
• Utility Tax amendments favouring superfast broadband network roll-outs;
• FttX subscriber base reaches 800,000;
• Maygar Telecom steps up e-health initiatives;
• Regulator preps for multi-spectrum auction, disallows Digi Telecom from bidding;
• DIGIMobil launches an LTE service;
• Amended access regulations incorporate fibre and cable infrastructure sharing;
• Maygar Telekom launches NB-IoT platform;
• Magyar Telekom and Telenor Hungary expand LTE coverage through joint network;
• Report update includes the regulator's market data to June 2019, telcos' financial and operating data to Q2 2019, Telecom Maturity Index charts and analyses, assessment of the global impact of COVID-19 on the telecoms sector, recent market developments.

Companies mentioned in this report:

Maygar Telecom, UPC Hungary, Vodafone Hungary, Hungarotel, GTS Datanet, B2B Europe, T-Mobile Hungary, Telenor Hungary, Invitel, Antenna Hungaria

• Key statistics
• Country overview
• COVID-19 and its impact on the telecom sector
  • Economic considerations and responses
  • Mobile devices
  • Subscribers
  • Infrastructure
• Telecommunications market
  • Telecom tax
  • Internet tax
  • Utility Tax
  • Regional European market comparison
    • Europe Telecom Maturity Index by tier
    • TMI versus GDP
    • Mobile and mobile broadband penetration
    • Fixed versus mobile broadband penetration
• Regulatory environment
  • Historical overview
  • Unified Telecommunications Act 2001
  • Electronic Communications Act 2003
  • Regulatory authority
    • Telecom sector liberalisation
    • Privatisation
    • Interconnect
    • Access
    • Number Portability (NP)
    • Carrier selection (CS) and carrier preselection (CPS)
• Fixed network operators
  • Introduction
  • Magyar Telekom
    • International expansion
  • Digi Telecom/Invitel
  • Monor
  • B2B Europe
  • Antenna Hungária
• Telecommunications infrastructure
  • National telecom network
    • Magyar Telekom
    • Alternative operators
  • International infrastructure
  • Wholesaling
• Broadband market
  • Introduction and statistical overview
    • Market analysis
    • Broadband statistics
  • Hybrid Fibre Coax (HFC) Networks
  • Digital Subscriber Line (DSL) Networks
  • Fibre-To-The-Premises (FTTP)
  • Other fixed broadband services
    • Wi-Fi
    • Satellite broadband
• Digital economy
  • e-Government
    • Infrastructure
  • e-health
  • e-commerce
  • e-education
• Mobile communications
  • Market analysis
  • Mobile statistics
    • Mobile data
    • Mobile broadband
  • Regulatory issues
    • GSM licences
    • 3G licence awards
    • Multi-Spectrum auction
    • 900MHZ Spectrum
    • 450MHZ Spectrum
    • 3.4GHZ
    • Auction – 5G
    • Mobile Termination Rates (MTRS)
    • Mobile Number Portability (MNP)
    • Roaming
    • SIM card registration
  • Mobile infrastructure
    • 5G
    • 4G (LTE)
    • 3G
    • GSM
    • Other infrastructure developments
  • Major mobile operators
    • T-Mobile Hungary (MTEL)
    • Telenor Hungary
    • Vodafone Hungary
    • Digi Mobile
    • MPVI Mobil
    • Mobile Virtual Network Operators (MVNOs)
  • Mobile content and applications
    • m-Commerce
    • m-Marketing
• Appendix – Historic data
• Glossary of abbreviations
• Related reports

List of Tables

• Table 1 – Top Level Country Statistics and Telco Authorities - Hungary – 2019 (e)
• Table 2 – Change in telecom services revenue by sector – 2009 – 2019
• Table 3 – Maygar Telecom’s telecom tax contributions – 2010 – 2019
• Table 4 – Change in the number of fixed-numbers ported – 2009 – 2019
• Table 5 – Fixed-voice market share of subscribers by major operator – 2011 - 2019
• Table 6 – Fixed-voice market share by minor operator – 2011 – 2019
• Table 7 – Change in the market share of fixed telephony connections: PSTN, VoIP, VoCATV – 2012 – 2019
• Table 8 – Development of Magyar Telekom Group’s revenue by sector – 2006 – 2019
• Table 9 – Development of Magyar Telekom’s financial data – 2010 – 2019
• Table 10 – Change in the number of Magyar Telekom’s wireline subscriber base by sector – 2008 – 2019
• Table 11 – Change in Digi Telecom’s subscriber base by type – 2016 – 2019
• Table 12 – Change in Digi Telecom’s financial data – 2016 – 2019
• Table 13 – Change in the number of fixed lines in service and teledensity – 2009 – 2024
• Table 14 – Decline in fixed-line voice traffic – 2009 – 2019
• Table 15 – Development of international internet bandwidth – 2009 – 2016
• Table 16 – Change in fixed broadband revenue by platform – 2009 – 2019
• Table 17 – Internet access revenue by wireless and wired platform – 2009 – 2019
• Table 18 – Growth in fixed-line broadband traffic – 2015 – 2019
• Table 19 – Growth in the number of fixed broadband subscribers and penetration – 2009 – 2024
• Table 20 – Fixed broadband market share of subscribers by major operator – 2011 – 2019
• Table 21 – Fixed broadband market share of subscribers by minor operator – 2011 – 2019
• Table 22 – Fixed broadband lines above 30Mb/s, by platform – 2011 – 2019
• Table 23 – Proportion of household internet connections by type – 2006 – 2018
• Table 24 – Change in the proportion of fixed broadband subscriptions by data rate – 2015 – 2019
• Table 25 – Increase in the number of cable broadband subscribers – 2009 – 2019
• Table 26 – Growth in the number of UPC Hungary’s cable broadband subscriber base – 2003 – 2019
• Table 27 – Increase in the number of Magyar Telekom’s cable broadband subscribers – 2004 – 2019
• Table 28 – Decline in the number of DSL broadband subscribers – 2009 – 2019
• Table 29 – Decline in the number of Magyar Telekom’ retail DSL subscribers – 2004 – 2019
• Table 30 – Growth in the number of FttX broadband subscribers – 2010 – 2019
• Table 31 – Growth in the number of Magyar Telekom’s FttX subscribers – 2010 – 2019
• Table 32 – Growth in the number of wireless broadband subscribers – 2009 – 2019
• Table 33 – Growth in the number of mobile subscribers and penetration – 2009 – 2024
• Table 34 – Change in the share of mobile subscribers by MNO – 2006 – 2019
• Table 35 – Change in the ratio of prepaid to postpaid subscribers – 2007 – 2019
• Table 36 – Change in mobile sector revenue – 2009 – 2019
• Table 37 – Growth in mobile data traffic – 2014 – 2019
• Table 38 – Change in the volume of SMS and MMS traffic – 2009 – 2019
• Table 39 – Increase in the number of active mobile broadband subscribers and penetration – 2009 – 2024
• Table 40 – Mobile broadband subscribers – 2011 – 2019
• Table 41 – Increase in mobile voice traffic – 2009 – 2019
• Table 42 – Increase in the number of T-Mobile Hungary’s mobile broadband subscriber base – 2008 – 2019
• Table 43 – Mobile broadband revenue – 2006 – 2018
• Table 44 – Growth in the number of T-Mobile Hungary’s mobile subscriber base – 2009 – 2019
• Table 45 – Development of T-Mobile Hungary’s revenue – 2009 – 2019
• Table 46 – T-Mobile Hungary’s quarterly revenue (HUF) by type – 2016 – 2019
• Table 47 – T-Mobile blended ARPU (€) – 2004 – 2019
• Table 48 – Change in T-Mobile Hungary’s mobile ARPU (HUF) – 2004 – 2019
• Table 49 – Decline in Telenor Hungary’s mobile subscriber base – 2004 – 2018
• Table 50 – Development of Telenor Hungary’s financial data – 2006 – 2018
• Table 51 – Decline in Telenor Hungary’s monthly ARPU – 2006 – 2018
• Table 52 – Decline in Telenor Hungary’s monthly ARPU – 2006 – 2018
• Table 53 – Growth in the number of Vodafone Hungary’s mobile subscriber base – 2007 – 2019
• Table 54 – Growth in the number of Digi Telecom’s mobile subscribers– 2016 – 2019
• Table 55 – Historic - Fixed lines in service and teledensity – 2000 – 2009
• Table 56 – Historic - Fixed-line voice traffic – 2002 – 2009
• Table 57 – Historic - Development of international internet bandwidth – 2000 – 2009
• Table 58 – Historic - Fixed broadband subscribers and penetration rate – 2000 – 2009
• Table 59 – Historic - Internet access revenue by platform – 2002 – 2009
• Table 60 – Historic - Dial-up internet traffic – 2002 – 2015
• Table 61 – Historic - Cable broadband subscribers – 2009 – 2009
• Table 62 – Historic - DSL broadband subscribers – 2003 – 2009
• Table 63 – Historic - Wireless broadband subscribers – 2003 – 2009
• Table 64 – Historic - Use of e-government services (proportion of internet users) – 2010 – 2017
• Table 65 – Historic - Mobile subscribers and penetration rate – 1998 – 2009
• Table 66 – Historic – Mobile voice traffic – 2001 – 2098
• Table 67 – Historic - Total SMS and MMS messages sent – 2002 – 2009

List of Charts

• Chart 1 – Change in telecom services revenue by sector – 2009 – 2019
• Chart 2 – Maygar Telecom’s telecom tax contributions – 2010 – 2019
• Chart 3 – Europe Telecoms Maturity Index – Market Leaders (top tier)
• Chart 4 – Europe Telecoms Maturity Index – Market Challengers (middle tier)
• Chart 5 – Europe Telecoms Maturity Index – Market Emergents (bottom tier)
• Chart 6 – Overall view - Telecoms Maturity Index vs GDP per Capita
• Chart 7 – Europe - mobile subscriber penetration vs mobile broadband penetration
• Chart 8 – Scandinavia and Baltics: mobile subscriber penetration vs mobile broadband penetration
• Chart 9 – Northern Europe –mobile subscriber penetration vs mobile broadband penetration
• Chart 10 – Southern Europe mobile subscriber penetration vs mobile broadband penetration
• Chart 11 – Eastern Europe mobile subscriber penetration vs mobile broadband penetration
• Chart 12 – Scandinavia and Baltics fixed and mobile broadband penetration
• Chart 13 – Northern Europe fixed and mobile broadband penetration
• Chart 14 – Southern Europe fixed and mobile broadband penetration
• Chart 15 – Eastern Europe fixed and mobile broadband penetration
• Chart 16 – Change in the number of fixed-numbers ported – 2009 – 2019
• Chart 17 – Change in the market share of fixed telephony connections: PSTN, VoIP, VoCATV – 2012 – 2019
• Chart 18 – Development of Magyar Telekom Group’s revenue by sector – 2006 – 2019
• Chart 19 – Development of Magyar Telekom’s domestic revenue by type – 2010 – 2019
• Chart 20 – Change in the number of Magyar Telekom’s wireline subscriber base by sector – 2008 – 2019
• Chart 21 – Change in Digi Telecom’s subscriber base by type – 2016 – 2019
• Chart 22 – Change in Digi Telecom’s financial data – 2016 – 2019
• Chart 23 – Change in the number of fixed lines in service and teledensity – 2009 – 2024
• Chart 24 – Decline in fixed-line voice traffic – 2009 – 2019
• Chart 25 – Development of international internet bandwidth – 2000 – 2016
• Chart 26 – Change in fixed broadband revenue by platform – 2009 – 2019
• Chart 27 – Internet access revenue by wireless and wired platform – 2009 – 2019
• Chart 28 – Growth in fixed-line broadband traffic – 2015 – 2019
• Chart 29 – Growth in the number of fixed broadband subscribers and penetration – 2009 – 2024
• Chart 30 – Fixed broadband lines above 30Mb/s, by platform – 2011 – 2019
• Chart 31 – Change in the proportion of fixed broadband subscriptions by data rate – 2015 – 2019
• Chart 32 – Increase in the number of cable broadband subscribers – 2009 – 2019
• Chart 33 – Growth in the number of UPC Hungary’s cable broadband subscriber base – 2003 – 2019
• Chart 34 – Increase in the number of Magyar Telekom’s cable broadband subscribers – 2004 – 2019
• Chart 35 – Decline in the number of DSL broadband subscribers – 2009 – 2019
• Chart 36 – Decline in the number of Magyar Telekom’ retail DSL subscribers – 2004 – 2019
• Chart 37 – Growth in the number of FttX broadband subscribers – 2010 – 2019
• Chart 38 – Growth in the number of Magyar Telekom’s FttX subscribers – 2010 – 2019
• Chart 39 – Growth in the number of wireless broadband subscribers – 2009 – 2019
• Chart 40 – Growth in the number of mobile subscribers and penetration – 2009 – 2024
• Chart 41 – Change in the share of mobile subscribers by MNO – 2009 – 2019
• Chart 42 – Change in the ratio of prepaid to postpaid subscribers – 2007 – 2019
• Chart 43 – Change in mobile sector revenue – 2009 – 2019
• Chart 44 – Growth in mobile data traffic – 2014 – 2019
• Chart 45 – Change in the volume of SMS traffic – 2009 – 2019
• Chart 46 – Increase in the number of active mobile broadband subscribers and penetration – 2009 – 2024
• Chart 47 – Increase in mobile voice traffic – 2009 – 2019
• Chart 48 – Increase in the number of T-Mobile Hungary’s mobile broadband subscriber base – 2008 – 2019
• Chart 49 – Growth in the number of T-Mobile Hungary’s mobile subscriber base – 2003 – 2019
• Chart 50 – Development of T-Mobile Hungary’s revenue – 2009 – 2019
• Chart 51 – T-Mobile Hungary’s quarterly revenue (HUF) by type – 2016 – 2019
• Chart 52 – Change in T-Mobile Hungary’s mobile ARPU (HUF) – 2004 – 2019
• Chart 53 – Decline in Telenor Hungary’s mobile subscriber base – 2004 – 2018
• Chart 54 – Development of Telenor Hungary’s financial data – 2006 – 2018
• Chart 55 – Growth in the number of Vodafone Hungary’s mobile subscriber base – 2007 – 2019

List of Exhibits

• Exhibit 1 – Generalised Market Characteristics by Market Segment
• Exhibit 2– Access, the local loop and unbundling – an overview
• Exhibit 3 – Number portability defined
• Exhibit 4 – Carrier selection and carrier preselection overview
• Exhibit 5 – 2G spectrum awards
• Exhibit 6 – Spectrum auction results – 2014

Read the full report: https://www.budde.com.au/Research/Hungary-Telecoms-Mobile-and-Broadband-Statistics-and-Analyses