The main challenge for the mobile telephony services market leader in the country in the near future is the lack of its own landline infrastructure needed to provide convergent fixed-mobile service packages.
“We are very pragmatic, there are various ways to go towards convergence,” said Ramon Fernandez, deputy CEO and Executive Director of Finance, Performance and Europe with the Orange group.
Convergent offers are a trend in Romania, as well but are definitely in their early stages in terms of adoption, he added.
The telecom market will go through significant changes once user migration towards fixed-mobile packages becomes significant so the communications market watchdog ANCOM should do some research and assess to what extent the lack of regulations for the fixed service market should be revised, if regulations should be introduced or reintroduced, said Jean-Marc Vignolles, chief operating officer Europe with Orange, also explicitly stating Orange’s intent to invest in fixed networks. “As we intend to invest in a fixed modern infrastructure to allow us to provide high-speed Internet services like we have done on the mobile telephony market so far, there is a transition period during which we need to operate on an existing network.”
Beyond access to fixed networks of other actors either using rules issued by ANCOM or based on commercial contracts, another option is making joint investments with other companies, as well as resorting to acquisitions.
Orange definitely has the capacity to expand organically by investing in its own network, also has partnerships (such as the deal with Telekom) and there is also the option of non-organic growth (acquisitions i.e.), all of which the Orange group is considering, Fernandez said.
Ramon Fernandez and Jean-Marc Vignolles are part of the new management team in charge of Orange’s operations in Europe since May.
(English version by Loredana Fratila-Cristescu)