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Update Telefonica dominates Spanish broadband - 05-July-2008, 16:20

Telefonica dominates Spanish broadband

A report from Strategy Analytics suggests that Spains residential broadband landscape continues to be highly concentrated, with four players controlling nearly 90% of the total market.

Of the nearly 400,000 new Spanish subscriptions in the first quarter of 2008, incumbent Telefonica took the lions share. With 264,000 net new subscriptions in the quarter, it held on firmly to its number one position in the market, says the study.

Cable company Ono, which saw 3% sequential growth in the quarter, and recently announced plans to offer the first nationwide 100 Mbps service. France Telecom gained significant traction in the market last year, with the acquisition of Yacom from Deutsche Telekom. The companys Orange and Yacom brands collectively added only 9,000 net subscriptions in the quarter, however.

Alternative operator Jazztel added more than twice as much in the quarter with 22,000 net new subscriptions. Jazztel, says Strategy Analytics, has announced guidance to increase overall market share to 5% by 2010. The study predicts that Telefonica will maintain its dominant share position in the Spanish market. While Orange will likely hold on to its market share position, Ono and Jazztel are on course to make headway in 2008.
   
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