Research and Markets: As Of 2010, Bulgaria's Telecom Service Revenue Is Dominated By Voice, Accounting For 81 Percent of t

DUBLIN--(BUSINESS WIRE)-- Research and Markets (http://www.researchandmarkets.com/research/d8c308/bulgaria_fixed_an) has announced the addition of the "Bulgaria: Fixed and Mobile Broadband Prospects Start to Rise" report to their offering.

Fostered by government led initiatives and operators network upgrades, broadband-based services will drive Bulgaria's telecommunication market growth over the next five years, with mobile data and broadband Internet expected to experience a double-digit growth, according to a new report.

Bulgaria: Fixed and Mobile Broadband Prospects Start to Rise offers a precise profile of the country's telecommunications, media, and technology sectors based on proprietary data from our research in the market. It provides detailed competitive analysis of both the fixed and mobile sectors, tracks the market shares of technologies and services, and monitors the introduction and spread of new technologies.

As of 2010, Bulgaria's telecom service revenue is dominated by voice, accounting for 81 percent of the total. However, Pyramid expects this segment to lose 16 percent by 2015 because it will bear the brunt of EU regulation with regard to mobile termination rates (MTR), number portability, and the pervasive trends of fixed-line disconnection and lower pricing of services.

Data revenue, currently 19 percent of total service revenue, will grow at a CAGR of 20.8 percent over the next five years to reach 34 percent in 2015, primarily driven by increasing fixed and mobile Internet penetration facilitated by recent initiatives from operators and the CRC, as well as by subsidies offered on computing devices, notes Ewa Romaniuk-Calkowska, Analyst at Pyramid. As the effect of MTR-focused EU regulation takes hold, operators will focus more on the mobile data segment, which represents a cumulative revenue opportunity of $2.1 billion across the forecast period, she says. In addition, propelled by continuous MNO investment in network upgrades, we expect 3G subscriptions to almost double between 2010 and 2015, from 30.3 percent to 57.1 percent of total mobile subscribers.

Pyramid projects fixed broadband subscriptions to almost double over the next five years to 2.1 million, with fixed broadband services presenting a $1.9 billion revenue opportunity in the 2010-2015 period. The drivers behind this growth are the continuous investment in extending and upgrading broadband networks, a more favorable regulatory environment and the adoption of a National Broadband Strategy by the government, which aims for 100 percent broadband coverage, Romaniuk-Calkowska explains. Accompanying broadband adoption growth, IPTV and VoIP will grow at a double-digit CAGR of 46.4 percent and 38.7 percent, respectively, between 2010 and 2015.

Executive Summary:

The Bulgarian telecom market generated Lv3.2bn ($2.2bn) in service revenue in 2009, a 5.3% decline in dollar terms compared to 2008, but just -0.1% in local currency. Going forward, the market will grow at CAGR of 4.8% (3.1% in local currency terms) over the next five years, to reach $2.8bn (Lv3.8bn ) in 2015. We expect broadband Internet and mobile data services to be the most dynamic segments of the market. Accompanying broadband adoption growth, IPTV and VoIP will grow at a double-digit CAGR of 46.4% and 38.7%, respectively, between 2010 and 2015. As the effect of MTR-focused EU regulation takes hold, operators will focus more on the mobile data segment, which we expect to grow at a CAGR of 20.8%.

Even though mobile voice will grow at a CAGR of only 0.2% in local currency, it still accounts for the majority of revenue and will continue to do so throughout the rest of the forecast period. Mobile voice presents a $8.7bn (Lv12.0bn) cumulative revenue opportunity in the same period. Dial-up Internet and fixed circuit-switched voice are two segments that will experience negative growth, with CAGR rates of -35.1% and -9.8% in the same period. This is due mainly to fixed-to-mobile substitution, as well as increased broadband penetration and growing usage of voice-over-IP (VoIP).

Key Topics Covered:

• Executive Summary
• Market and Competitor Overview
• Bulgaria in a regional context
• Economic, demographic and political context
• Regulatory environment
• Demand profile
• Service evolution
• Competitive landscape
• Major market players
• Segment analysis
• Mobile services
• Fixed services
• Identifying Opportunities

For more information visit http://www.researchandmarkets.com/research/d8c308/bulgaria_fixed_an

Source: Pyramid Research, Inc.

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KEYWORDS:   United States  Bulgaria  Europe  North America  New York

INDUSTRY KEYWORDS:   Technology  Telecommunications

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