Gabriel Miramar-Garcia | 18-09-2013
Despite the forecasted market decline in the next two years, the communications industry in Spain will still generate sizable revenue through 2018 – almost $168 billion cumulatively between 2013 and 2018.
This will be driven by fibre-based services on the fixed side and the MVNO and M2M sub-segments on the mobile side, according to a new report from Pyramid Research, as bigger networks are required to adequately carry video traffic.
"The revenue from FTTH services will grow at a CAGR of 58 percent between 2013 and 2018, reaching $3.3 billion in 2018," said Pyramid Research senior analyst Stela Bokun.
Pyramid Research's positive outlook of the Spanish FTTH market is associated with the recently announced fibre alliance between Orange and Vodafone, which will result in a significant increase in fibre network expansion in Spain.
As for the mobile market, user penetration of the population is already high at 84%; therefore, much of the projected subscriber growth will come from the expansion of the enterprise segment, in particular the M2M market, which achieved double-digit growth in 2012. In addition, the MVNO market generated service revenue of $805 million in 2012, which constitutes an annual growth of 37.1 percent, she noted