Europe > Northern Europe > Finland > Finland Communication Profile 2012

Finland: Finland Communication Profile 2012

2012/05/20

 

 

 

Finland Communication Profile 2012

 

Finland’s MNOs deliver LTE to half of the population

Telecom revenue overview

Turnover in Finland’s telco sector fell steadily from 2006 to 2009, affected by a poor economic climate. Since 2009 the sector has stabilised, showing slight increase tempered by the effects of competition and regulatory measures. Additional than half of in general telecom revenue is derived from the mobile sector. Turnover from fixed-line telephony has fallen steadily in line with lower access and call charges. Mobile sector revenue is expected to remain flat through to 2013 before the nascent mobile data services sector begins to provide measureable revenue to compensate for declining voice services revenue.

Finland’s telecom market is part the additional progressive in Europe, with considerable emphasis by both the regulator and operators to test-bed technologies, particularly in the mobile sector, and provide additional spectrum for telecom services. As a result the country enjoys part the highest broadband and mobile penetration rates in Europe. Digital media developments have progressed well since broadcasting went entirely digital in early 2008, ahead of most other European nations. This statement introduces the key aspects of the Finnish telecom market, providing comprehensive data on the fixed network services sector together with an overview of key regulatory issues including interconnection, local loop unbundling, number portability and carrier preselection. The major operators are profiled, while the telecoms infrastructure and fixed telephony services are as well reviewed.


Key developments: Fixed-voice subscriptions continue to fall; DNA begins company restructure; regulator’s H1 2011 market data update; operator data to end-2011; market developments into 2012.

Broadband market

Finland has of the highest broadband penetration rates in Europe. The incumbent, TeliaSonera, is the dominant player in the DSL sector, while there is as well a vibrant cable network presence in urban areas. The completed digital 450MHz network provided the country with the world’s first national wireless broadband network, while over half of the people now benefit from commercial LTE services. This statement profiles Finland’s fixed and wireless broadband markets, together with developments in related technologies such as FttH, powerline broadband, wireless broadband, WiFi and internet via satellite. It as well provides broadband forecasts to 2020.


Key developments: DSL subscriber base shrinks in 2011; mobile broadband accounting for over half of amount broadband subscribers; DNA providing 200Mb/s broadband and tests 1.5Gb/s service; regulator’s H1 2011 market data update; operator data to end-2011; market developments into 2012.

Mobile market

Finland has of most innovative mobile markets in Europe. The country was a pioneer in developing 3G, and was the first to deploy 3G over 900MHz spectrum. Increase in the sector continues to be strong despite high mobile penetration. The 3G now makes up almost a third of the total subscriber base, while mobile broadband has as well grown considerably during the last years. Finland was as well of the first nations in the world to deploy a commercial LTE service, which now extends to well over half the people. In addition, the country boasts of the lowest mobile call charges of amount EU Member States. This statement provides statistics and research on the Finnish mobile market, including key regulatory issues, a snapshot of the consumer market, the increase of mobile data services and the development of emerging technologies and networks such as HSPA and LTE.


Key developments: Mobile subscriber base grows 7% in 2011; MNP conditions revised; TeliaSonera’s LTE network recording 48Mb/s; Russia and Finland negotiate roaming agreements; ITU releases 700MHz band for mobile broadband; Finland free to use 800MHz for LTE following spectrum agreement with Russia; MTR reduction agreed to late 2014; DNA expands HSPA+/LTE to 50% of the people; Elisa launches LTE in Espoo; regulator’s H1 2011 market data update; operator data to end-2011; market developments into 2012

Digital Economy and Digital TV

Finland’s broadcasting market was of the first in Europe to become entirely digital. Digital Terrestrial TV has been operating since mid-2001, interactive TV has progressed well, and mobile TV, with competing providers, is part the majority advanced in Europe. TeliaSonera, cablecos and other providers offer bundled services to a growing market, while network upgrades have helped consumer access to services. The government’s plan for each household to have fibre-based 100Mb/s connections by 2015 will dramatically improve the commercial potential of convergent services and IP-delivered content providers. This statement presents a comprehensive overview of Finland’s broadcast platforms and major service providers, and notes the status of digital TV and emerging triple play services.


Key developments: Government begins licensing round to utilise capacity in the A, G, VHF A and VHF B multiplexes; DNA upgrades broadband network to 200Mb/s, launches pay-TV service; regulator’s H1 2011 market data update; operator data to end-2011; market developments into 2012.

Key telecom parameters – 2010; 2013

Sector

2010

2013 (e)

Subscribers to telecoms services (million):

Fixed-line telephony

1.18

0.95

Fixed broadband

1.56

1.69

Mobile (SIM)

8.39

10.13

Mobile broadband

1.63

3.12

Market penetration by sector:

Fixed-line telephony

25%

23%

Fixed broadband

28%

35%

Mobile (SIM)

141%

151%

(Source: BuddeComm)

Market Highlights

  • The major cableco DNA has delivered wide-reaching 200Mb/s services and has trialled a 1.5Gb/s service, the world’s fastest thus far.
  • Long term spectrum licences in the 2.5-2.69GHz band has encouraged operators to invest in network upgrades. DNA offers a combination of HSPA+ and LTE to some 130 municipalities, representing up to half of the people.
  • The frequency coordination agreement reached between Finland and Russia in 2011 enables Finland to use the 800MHz band for LTE, fast-tracking mobile broadband to rural areas.
  • FttH has been stimulated by government intervention providing public funding for rural projects, which now benefit about 5% of the people.
  • Initially slow to develop large-scale fibre projects, the major telcos have recently stepped up their investment though concentrating on commercially viable areas, with LTE expected to fill gaps in rural areas.
Internet country code: 

.fi; note - Aland Islands assigned .ax

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