Presentation Transcript
Competition in the Danish Telecom Sector - Status and perspectives: Competition in the Danish Telecom Sector - Status and perspectives Morgan Stanley, 9 May 2005
Director General Jørgen Abild Andersen
National IT and Telecom Agency
Slide2: The Danish telecom sector – stakeholders and opinions
Carrying out the Market Analyses
Status on the Competition in the Danish telecom sector - status
International comparisons – how is Denmark doing?
Important challenges Agenda
Danish Newspapers : Danish Newspapers Prices are too high!
It is not possible to make money in the Danish telecom sector!
Cheap broadband will ruin the competition!
Longer maximum period on subscriber commitment will promote innovation and competition!
Longer maximum period of subscriber commitment will prevent freedom of choice and have a negative impact on market transparency and competition!
The regulation of the Danish telecom sector is too tight!
It is necessary to strengthen the regulation even more!
Many stakeholders and many opinions!
Slide4: Stakeholders and opinions in the Danish telecom sector
Carrying out the Market Analyses
Competition in the Danish telecom sector - status
International comparisons – how is Denmark doing?
Important challenges Agenda
Conducting the market surveys: Conducting the market surveys Definition of relevant markets
Data collection
Data processing
Analyses of effective competition and designation of SMPs
Consultation of the industry and Danish Competition Agency
Draft decision
Consultation of the industry, Danish Competition Agency and EU Commission
Final decision
Market surveys – Status (I): Market surveys – Status (I) Expected initiation of consultations for retail markets
Market surveys – Status (II): Market surveys – Status (II) Expected initiation of consultations for wholesale markets
Market analyses – Conclusions (I): Market analyses – Conclusions (I) Retail markets
Market analyses – Conclusions (II): Market analyses – Conclusions (II) Wholesale markets
Slide10: Stakeholders and opinions in the Danish telecom sector
Carrying out the Market Analyses
Competition in the Danish telecom sector - status
International comparisons – how is Denmark doing?
Important challenges Agenda
”Several pipes to the home”: ”Several pipes to the home” DSL - PSTN
Cable modem - CATV
FWA/WiMAX
Optical fibres – Fiber/LAN, FTTH
Mobile - GPRS/EDGE/3G
WLAN - Public Hot-spots
Power Line Communications
Satellite
Terrestrial Digital Broadcasting
Availability of broadband services mid-2004 - ADSL, Cable Modem and FWA: Availability of broadband services mid-2004 - ADSL, Cable Modem and FWA Source: National IT and Telecom Agency, October 2004.
Penetration of ADSL, cable modem and LAN mid-2004 Percent of the number of households and enterprises: Penetration of ADSL, cable modem and LAN mid-2004 Percent of the number of households and enterprises Source: National IT and Telecom Agency,October 2004.
Broadband Subscribers, 2001-2004 : Broadband Subscribers, 2001-2004
Source: National IT and Telecom Agency, 2005
Price development - the lowest price: Price development - the lowest price Kilde: National IT and Telecom Agency, January 2005
Market Shares of the Incumbent 2001-2004: Market Shares of the Incumbent 2001-2004
Source: National IT and Telecom Agency, February 2005
Electricity distributors entry into the broadband market : Electricity distributors entry into the broadband market
Source: Dansk Bredbånd and electricity distributors web-sites
Slide18: Stakeholders and opinions in the Danish telecom sector
Carrying out the Market Analyses
Competition in the Danish telecom sector - status
International comparisons – how is Denmark doing?
Important challenges Agenda
ULL-Prices - Rent per month – EURO ex. VAT: ULL-Prices - Rent per month – EURO ex. VAT August 2004
Broadband competition in EU15 : Broadband competition in EU15
Source: European Commission, March 2005
Broadband Mapping of Europe December 2004 : Broadband Mapping of Europe December 2004
Broadband in the World: Broadband in the World
Slide23: Stakeholders and opinions in the Danish telecom sector
Carrying out the Market Analyses
Competition in the Danish telecom sector - status
International comparisons – how is Denmark doing?
Important challenges Agenda
A competition driven market: A competition driven market
Access-based competition - Wholesale broadband access
Facility-based competition - Competition between alternative platforms
Broadband prices – focus areas: Broadband prices – focus areas Pricing ”raw copper”: LRAIC price method versus historical costs method. Survey on pros and cons by choice of method.
50/50 allocation principle – PSTN and ADSL. Survey on pros and cons if the current principle is changes.
Double recovery of costs – Survey will show whether TDC get economical recovery on “raw copper” more than once?
TDC’s bearer service – Bitstream-access without PSTN (Market 12 issue)
ERG 2005 – Important focus areas: ERG 2005 – Important focus areas Wholesale Broadband Markets (Naked DSL, NGN)
VoIP – ERG Common Statement for VoIP regulatory approaches (Februar 2005)
ERG Common Positions on wholesale international roaming
Further development of the ERG Common Position on Remedies