Fibre drives Spanish telecom investments _20.12.2015
Fibre drives Spanish telecom investments
Juan Fernandez Gonzalez
| 20 December 2015
Telecom investment grew by 30% during 2014 in Spain, exceeding the €5 billion barrier for the first time in four years thanks to extensive fibre-to-the-home (FTTH) deployment.
inversion telecomAccording to the annual report of telecoms and audiovisual industries, just published by the country's telecom authority (CNMC), Spain's largest operators increased investment in fixed infrastructures in 2014, particularly with regard to fibre, through which they are deploying their IPTV-topped, convergent offers.
Telefónica's Movistar put most money on the table, investing over €1.4 billion, representing a 14.4% growth compared to the year before.
After completing the acquisition of ONO, Vodafone invested over €1.15 billion (up 53%), and Jazztel, which was at the time still independent (now it belongs to Orange) invested €428 million (up 27%).
CNMC believes the main reason behind the booming investment is fibre. “During 2014, number of fibre accesses grew more than during the three previous years, when almost the entire FTTH network belonged to Movistar,” it explained in an analysis note.
And fibre is becoming basic for new convergent strategies, which have driven Spanish homes to prefer packaged services. Indeed, since the first convergent offers entered the market in 2012, 8.6 million households have subscribed to one.
Figures are also pointing to a booming pay-TV market, in which IPTV has much to say. During the last year, the industry added 1.4 million new pay-TV subscriptions, almost all of them fibre-based.