In this presentation we show our analysis of revenue growth trends for mobile operators in the top five European markets (UK, Germany, France, Italy and Spain). The historical analysis is based on the published results of the operators, although they include our estimates where their data is inconsistent or not complete. A copy of the underlying data in spreadsheet format is available to our subscription clients on request
Vodafone Europe’s service revenue growth improved marginally in the September quarter, a very solid performance under tricky circumstances, helped by good competitive performances and judicious pricing measures
The combined Europe and group common function EBITDA margin was again held flat, despite continued smartphone adoption pushing up handset costs, with strong cost control again evident
Pricing, competitive, regulatory and cost trends are all going well; but macroeconomic trends are clearly not, and are likely to make an acceleration in the second half of the year very difficult
Nokia has launched its comeback with two very solid Windows Phone devices at €420 and €270. Next year Nokia, like Apple, will have handsets with uniquely appealing industrial design. However, Nokia will not launch in the USA until 2012 and needs to add cheaper smartphones to the portfolio
Nokia and Microsoft face a hard struggle in establishing a third mobile app ecosystem. However, it is not impossible (Google has managed it in 18 months) and given more devices and the right execution they could manage it
2012 will be the critical year. We believe that the flaws in the Android proposition mean there remains a real window of opportunity. However, if Apple launches a cut-price iPhone then the market will be turned upside-down, again
Advancing its free-to-air TV project, France’s Canal+ is to buy Bolloré TV’s national channels for €465 million to gain (scarce) licences for FTA terrestrial broadcast
Canal+ plans to leverage its library of original programming to attract upscale audiences, neglected by commercial rivals
However, the Vivendi investment case of a 9% return on capital is built on incompatible assumptions about profit margins and market share – to grow the latter in a mature market, a channel needs to sacrifice the former
In this report we outline the current state and likely development of the war between mobile platforms. We discuss installed bases and activity levels, the key issues facing Apple and Android, including Android fragmentation and Google's acquisition of Motorola, and go on to look at the tablet market and the outlook for RIM, Nokia and Windows Phone.
In this presentation we show our analysis of revenue growth trends for mobile operators in the top five European markets (UK, Germany, France, Italy and Spain). The historical analysis is based on the published results of the operators, although they include our estimates where their data is inconsistent or not complete. A copy of the underlying data in spreadsheet format is available to our subscription clients on request
This report provides our annual assessment and forecasts for recorded music sales and music publishing revenues, which engage all four of the ‘majors’ – Universal Music Group (UMG), EMI, Sony and Warner Music Group (WMG). In the context of the ongoing physical-to-digital transition of music consumption, retailing and buying, documented in the report, we estimate a 10% decline in recorded music sales to $18.4 billion in 2010, the sixth consecutive year of decline. We also project further overall declines in our forecast period to 2015. The recorded music sales decline has fed into music publisher revenues via mechanicals, and will continue to do so. In addition, the recession of 2008-09 continues to feed through to music publisher revenues via the lagged distribution of royalties. Thus, for 2010, we estimate that the global total fell by 3.1% in 2010 to $5.6 billion, and project an overall return to modest growth in 2012. Together, our analysis of recorded music and music publishing provides an industry-level context to evaluate the likely development of the majors themselves, bearing in mind that shifts in market share and currency movements will continue to differentiate their relative performances.
The most dramatic observation from our survey is the surge in mobile data service usage: 48% of UK mobile users now use a data service at least once a month, up from just 30% last year. This increase is substantially all from the increased number of internet-centric smartphones (i.e. iPhone, BlackBerry and Android handsets) in the base
The internet-centric smartphones themselves had substantially no reduction in data usage penetration rates (all at 90%+) despite their volumes surging, with users from all age and socio-economic groups using them for data services. Data service usage penetration on a daily basis actually increased for Android and BlackBerry handsets
This supports our view that it is the nature of these handsets in terms of their ease-of-use for data services that is driving overall usage, and that overall data usage will continue to surge as they continue to diffuse through the subscriber base
In this presentation we show our analysis of revenue growth trends for mobile operators in the top five European markets (UK, Germany, France, Italy and Spain). The historical analysis is based on the published results of the operators, although they include our estimates where their data is inconsistent or not complete.
H3G Europe improved its revenue growth and margins in 2010, albeit not by as much as its headline figures claimed. It is currently growing at 5% with EBIT at around breakeven
Given that its parent company is likely to want to keep EBIT positive, it is likely to be constrained on future investment in subscriber growth, limiting its potential going forward
The UK was particularly strong, with dramatically improved contract subscriber growth, and margins improving despite this, driven by the completion of the T-Mobile network share implementation helping margins and the smartphone revolution playing to the company’s 3G network strengths