Telefónica triples subs to top Spanish pay-TV market

DetailsJuan Fernandez Gonzalez | 26 February 2015

While two years ago Telefónica's pay-TV future seemed to be far removed from Spain, current figures show just how much things can change, as Movistar TV has announced 1.9 million subs in the country, three times more than 12 months ago, making it the group's fastest growing market worldwide.

In a global business which has reached €50,000 million in revenues in 2014, Spain and Brazil have consolidated their positions as the major markets for Telefónica. In Spain, the group's fibre and pay-TV businesses have driven €12 billion in income, while in Brazil, where the company has purchased GVT, pay-TV subs have significantly increased (up 20%).

In Spain, home to Telefónica, the telco explains that the growth is due to a differential competitive positioning that has boosted commercial activity, the penetration of growth services (fibre, TV and 4G), and the level of customer loyalty and satisfaction which has resulted in a more stable high-value access base.

Accordingly, by the end of 2014 the company was topping the pay-TV market with 1.9 million customers, while the traditional market leader, Canal+, has around 1.5 million subs. Pay-TV has grown along with convergent packages, as Movistar Fusion, Telefónica's triple- and quad-play offers, reached 3.7 million subs.

Although growth was not so remarkable in Latin America, the telco has 2.4 million pay-TV subs throughout the region, 14% more than a year ago. Far from leading in LATAM, Telefónica has its largest market in Peru, in which nearly a quarter of its whole subscriber base is located, followed by Brazil, Chile and Colombia.