100 million connected screens put pressure on Spanish telcos

DetailsJuan Fernandez Gonzalez | 25 February 2015

Connected mobile screens, over-the-top (OTT) and video-on-demand (VOD) platforms are to change the telecoms market forever, and Spain - where telcos have already seen income reduced by 40% since 2010 – is predicted to have 100 million connected devices by 2017.

And in this changing market, consultancy firm PwC Strategy& has highlighted four trends which will influence the future of Spain's telecoms arena. According to Europa Press, the Internet of things, the arrival of new providers from Asia, the need for convergence and simplification of operators and new TV forms and VOD are being touted by the consultancy as the main challenges - or opportunities - for the industry in Spain.

Traditional TV is no longer the first screen by which viewers access audiovisual content, says PwC Strategy&, having been replaced by computers (61%) and tablets (31%), although other reports have previously indicated lower figures.

But the trend is to rocket over the next two years, as 100 million connected screens - 2.2 per inhabitant - will be owned by the Spanish population in 2017.

According to the consultancy's José Arias, Spanish telcos have seen falls of between 30-40% over the past four years due to the industry's digitalisation and VOD platforms, which have affected the traditional pay-TV business.

OTT voice and messages platforms, such as Skype and Whatsapp, have also contributed to the telecos' reduction in business.