Communiqué de presse

ART publishes its summary of the competition surveys on three specific telecommunications markets

28 October 2002

Following its decision no.01-898 dated 5 October 2001, Autorité de régulation des télécommunications (ART) conducted a survey on three telecommunications markets: dial-up Internet termination , broadband leased lines and data transmission and interconnection services. These surveys were meant to anticipate the future action of the regulator in the new European framework (Directive 2002 / 21 / EC) .

 

During the surveys, meetings were held with sector players (providers and clients) between November and January 2002. The main conclusions were presented to players in an interconnection economics subcommittee (for the interconnection services survey ), at an ad hoc meeting (for the broadband leased lines and data transmission survey ) and to one meeting of the CCRST (the Telecommunications Networks and Services Consultative Commission) for all three surveys.

 

A summary of each of these surveys was made public today, excluding elements protected by professional secrecy.

 

Main conclusions :

 

 

 

- On the Internet termination market, the survey held in late 2001, and published in a report released in February 2002, came to the conclusion that while there was effective competition on the Internet termination market from 2000 to mid 2001, the situation appeared to change significantly ever since and could require special attention from the regulator.

- On the broadband leased lines and data transmission market, the survey identified a specific market for each customer segment : corporate , ISP and operators.
On the corporate market (the most important in value) , while there is competition for local services in the four largest cities of France thanks to the presence of several metropolitan optical loops for coerporates, competition is still fragile in the six next largest cities and non-existent for the rest of the country.
On regional and national markets, France Telecom maintains a dominant position, primarily thanks to its control of the local loop.

- On the interconnection services market, the survey dealt with the two main segments, that is interconnection with fixed networks, and in particular France Telecom’s and interconnection with mobile networks.
On the fixed interconnection market, the survey shows that, despite France Telecom’s dominant position on many segments of this intermediate market, an alternative offer to France Telecom’s services is developing, in particular on national call termination markets, on that for regional connecting links, and to a lesser degree on the market for regional call termination. This appears through an increased diversification of services and prices, which benefits operators. Still, the results of this survey show that, as a general rule, this change is not yet sufficient to provide for an effective competition on these markets.

On interconnection with mobile operators, the survey confirms the weakness of the competition level on this market and generates an increasing concern in the entire telecommunications sector about the level of the termination charges on mobile networks .

The conclusions of these reports were prepared in early 2002. Changes on the markets having occurred since then.

 


Linked documents

The summaries of these three competition surveys are available on ART’s Web site:
 Internet termination market 
 Broadband leased lines and data transmission market  fr
 Interconnection services market