24 Feb 2011

Data services compensate for slowdown in mobile growth in Turkey

The total number of mobile subscriptions in Turkey declined by more than 2 million to 61.5 million in the 12 months to June 2010.  Caused by combination of economic downturn, decline in multi-sim ownership and the introduction of lower termination rates and number portability. 
All 3 Turkish operators have launched lower cost, flat-rate voice and data services which have triggered a 74% surge in usage.   As a result, 3G now accounts for more than 1 in 10 mobile subscriptions in Turkey.
This week, Turkish group Turkcell has reported a 0.8% year-on-year revenues increase in 2010, breaking the TRY9 billion (US$5.62 billion) mark for the first time. Revenues were mainly boosted by the uptake of their data services. However, the different regulatory decisions such as decreasing mobile termination rates in its domestic market had a negative impact on EBIDTA, which decreased by 1% to TRY2.95 billion, bringing the margin down 0.6pp to 32.7%. The group ended the year with 60.4 million subs, a yearly decrease of 3.7%, as a result of fewer customers in Turkey from the decline in multiple-SIM ownership and prepaid cards, and in Ukraine as a result of change in subscriber definition.
Turkish and Eurasian operators will present on their strategies for capitalising on this data potential at Eurasia Com conference in Istanbul next month www.comworldseries.com/eurasia