Fixed telephones used less despite solid demand for subscriptions

Revenues from sales on the fixed telephone market decreased in the first quarter of the year by 4.7% on the same period last year to 384.7 million lei. Revenues are dropping even if the number of subscribers increased by 25%. As reported by the National Agency for Electronic Communications and Information Technology, this trend has continued in the last three years. The increase in the number of subscribers is exclusively due to alternative providers. In the first quarter, alternative operators connected 6,000 new subscribers, as Moldtelecom lost 1,400 subscribers. As a result, as of March 31, 1.1 million subscribers were connected to the network of Moldtelecom and 58,700 to the networks of alternative fixed operators. Total landline telephony traffic dropped by 7.3% from the same period last year to 839.8 million minutes. ANRCETI data also show that Moldtelecom's revenues from fixed telephony services decreased by 5.6% to 375.4 million lei, while the sales of alternative providers increased by 54% to 9.3 million lei. In the first quarter, the average monthly revenue per user (ARPU) of fixed telephone service providers decreased by 6.3% and constituted 108.5 lei. The Moldtelecom's ARPU was 111.1 lei (- 5.8%) and the mean ARPU of alternative providers 55.7 lei (+ 7.5%). The fixed telephony market is shared among 23 providers, the largest being Moldtelecom, with a 97.6% market share in terms of turnover.

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