Romtelecom, the country’s largest landline operator, is to enter the mobile internet market next month, based on a Code Division Multiple Access (CDMA) broadband license won last fall. Mobile internet is the fastest growing telecom segment and the area of focus for the largest operators on the local market, Orange Romania and Vodafone Romania, as the voice segment is maturing and marked by fierce competition. To date, the main players on this market are Orange Romania, with more than 1.6 million broadband clients in the fourth quarter of 2008, up 65 percent year-on-year, and Vodafone Romania, with in excess of 1.1 million 3G clients at the end of 2008, 88 percent higher than in the same period in 2007. Both operators registered a sharp decline in their overall growth rate in the last three months of 2008, and have bet on the mobile internet segment to maintain growth in 2009. Romtelecom’s coming onto this market will heighten the competition, as the telecom market is threatened by a decrease due to harsh economic conditions and new regulations imposed by the National Communications Authority (ANC). “Services will initially be launched in several tens of cities and towns; the coverage area is to be gradually expanded in the coming period. The speed of internet services is up to 3.1 Mbps,” Romtelecom representatives said. Romtelecom is controlled by Greek OTE Group and by Germany’s Deutsche Telekom, which last year took over 25 percent of OTE. Another means by which the Greek company is considering accessing mobile data services is the acquisition of the Telemobil operator, which owns a 3G license in Romania through Cosmote, OTE’s mobile telephone division, according to information obtained by Business Standard, but as yet unconfirmed by company officials.
