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ACM maintains KPN wholesale broadband regulation
2014-10-31 08:35:00| Telecompaper Headlines
(Telecompaper) Dutch regulator ACM has decided to maintain wholesale access regulation on incumbent KPN's networks for another three years. Ziggo, which is merging with UPC to become a national cable operator, will not be subject to access regulation. By opening up KPN's networks to competing providers such as Vodafone and Tele2, consumers can save at least EUR 250 million a year, according to the ACM. KPN currently serves around 40 percent of Dutch broadband customers and Ziggo 44 percent. Two nationwide players is not enough to ensure competition, the ACM found. Alternative providers on KPN's DSL and FTTH providers ensure the market remains competitive. The ACM found that requiring resale or wholesale access on cable was technically difficult to realise, while the regulation of KPN's networks is a continuation of the existing situation. Market parties will have several weeks to comment on the ACM's proposed decision for ULL, after which it will be sent to the European Commission. The regulator aims for the decision to take effect in Q1 2015. At the same time as the regulatory decision, the ACM published its competition decision on KPN's plan to increase its stake in Reggefiber. KPN is allowed to buy another 9 percent in the FTTH operator, giving it management control with a total 60 percent in Reggefiber. As the FTTH network is covered by the existing regulation of KPN, no additional conditions were applied to the acquisition.
Tags: regulation
wholesale
broadband
maintains
KPN sales drop 4.9%, EBITDA down 15% in Q3
2014-10-28 08:22:00| Telecompaper Headlines
(Telecompaper) KPN reported third-quarter sales down 4.9 percent to EUR 1.98 billion, hurt by mobile price pressure and continued weakness in the enterprise market. EBITDA fell 15 percent year-on-year to EUR 633 million, of which 3 percent of the drop came from ending its handset leasing offer. The net result was a loss of EUR 76 million, in part due to a writedown of the value of its option to buy out Reggefiber by EUR 114 million. The Dutch operator said it was satisfied with the results, with customers growing on the mobile market and more bundled services delivered to businesses. Customer satisfaction also appears to be improving, following the simplification of the group's service range. KPN left its outlook unchanged, for growth in free cash flow next year, thanks to lower interest charges and taxes. The company also targets a higher dividend next year, compared to this year's 7 cents per share. For the rest of this year, KPN targets a stabilisation in results. Capex is expected to reach EUR 1.4 billion in 2014 and EUR 1.5 billion next year. KPN said it plans to use part of the EUR 5 billion received from the sale of E-Plus to pay off EUR 2 billion in outstanding bonds. It will also increase its stake in Reggefiber and contribute EUR 200
China, KPN, iBasis implement first VoLTE roaming calls
2014-10-14 09:56:00| Telecompaper Headlines
(Telecompaper) China Mobile, KPN and iBasis said they have successfully implemented the first international VoLTE roaming between mobile operators based on IMS local breakout architecture with a home routing systems. The operators will roll out VoLTE to subscribers in China this year, and also to the Netherlands. China Mobile International and iBasis are providing the IPX interconnectivity between China Mobile and KPN. Key network components were provided by Huawei. The system will allow voice calls over LTE, HD voice and the ability to switch instantly between clear voice and high quality video, amongst other features. The iBasis system will supports both local breakout and home routing and helps operators overcome challenges such as global reach for VoLTE calls, signaling and media interworking between VoLTE and non-VoLTE networks, supporting VoLTE global roaming and exploiting HD Voice capabilities. With a single connection to the iBasis multiservice IPX, operators will gain access to hundreds of destination countries around the world and to the full portfolio of iBasis Voice and Data capabilities. iBasis also provides a VoLTE test environment with interconnection and test locations around the world to help operators ensure that they are ready for commercial launch.
Tags: china
calls
implement
volte
KPN buys hosting provider Argeweb
2014-08-15 02:00:00| Total Telecom industry news
Dutch incumbent says acquisition strengthens its position in the SME cloud services sector.
Tags: hosting
provider
buys
kpn
KPN maintains outlook as Q2 sales fall 7.1%
2014-07-30 08:51:00| Telecompaper Headlines
(Telecompaper) KPN reported second-quarter revenues down 7.1 percent to EUR 2.00 billion. The decline slowed from 9.8 percent a year earlier, but the Dutch operator continued to suffer from difficult conditions in the mobile and business markets. EBITDA was still up 41 percent year-on-year thanks to the release of a pension provision. Excluding that, EBITDA fell 19 percent to EUR 633 million, giving a margin of 31.6 percent. The margin was up slightly from the previous quarter but down almost 5 percent points from a year earlier. Net profit roughly doubled to EUR 346 million or EUR 0.08 per share, thanks to the pensions gain. As part of discontinued operations, KPN wrote off EUR 744 million on its German operator E-Plus, due to the fall in share price at Telefonica Deutschland. Including this, KPN had a net loss of EUR 180 million in the quarter. The sale of E-Plus to Telefonica is expected to close in the current quarter, leaving KPN with a 20.5 percent stake in Telefonica Deutschland. KPN said its cost reduction programme has led to the loss of 350 jobs and EUR 75 million in savings so far this year. KPN maintained its outlook for 2014 and 2015. It expects results to stabilise towards the end of this year, while capex is forecast at less than EUR 1.4 billion and the dividend at 7 cents a share in 2014. In 2015, capex will remain below EUR 1.5 billion and the company expects a return to growth in free cash flow.
Tags: sales
fall
outlook
maintains
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