There are three dynamics at work in the telecommunications market.
The first is operators reducing their carbon footprint, by making greater use of low-carbon electricity, optimising the use of existing networks, developing mini-data centres close to their clients and, in the medium term, decommissioning certain network elements.
The second is the deployment of 5G. In France, the core networks will be switched over in around 2023-2024. We will also need to wait for allocation of the millimetre wave spectrum – the waves that carry cellular data with speeds equivalent to optical fibre.
Third and last, the average revenue per subscriber generated by European operators is only half to one third that of their North American competitors. In order to free up financial resources, they optimise management of their wired and mobile infrastructures by listing them on the stock exchange or reselling them at a premium. This trend is specific to Europe, because operators in Asia benefit from public subsidies, while in North America there is less competition.
Jean-Luc Lemmens
Director of the Media and Telecom Division at IDATE DigiWorld
Key figures
- €1,293 billion: global telecommunications revenues.
- €10.4 billion: annual investment in networks in France.
- 3%: annual growth of digital revenues in Europe.
Source : 2019-2020 data Idate, French Telecoms Federation
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