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In addition, in the case of disposals or introductions onto the market, the value of certain subsidiaries could be affected by changes in the stock and debt markets. Equity risk.

The World Outlook For Monochrome Televisions Strategic Planning Series

France Telecom. In a context of increased deregulation and competition, France Telecom pursued between - a strategy of developing new services and accelerated its international growth with a number of strategic investments, particularly the acquisition of Orange Plc. At the end of , France Telecom started a large-scale refinancing plan for its debt to reinforce its balance sheet, as well as an operational improvements program, the success of which has allowed the Group to develop a global integrated-operator strategy by anticipating changes in the telecommunications industry.

As of , France Telecom-Orange has pursued a selective acquisition policy mainly focused on emerging markets in particular Africa and the Middle East , while also attempting to grasp opportunities for consolidation in markets where the Group was already present. This initiative is aimed at its employees, customers and shareholders as well as, on a larger scale, at the society in which the Company operates.

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These forward-looking statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from the results anticipated in the forward-looking statements. Please also consult information under the heading Forward-looking information at the start of this document. Overall background of the Digital Market. The growth of revenues in the global telecommunications services market slowed slightly, falling from 3. However, there are some exceptions. On the one hand, emerging countries such as India and Brazil continue to have high growth rates, even though these have slowed.

Likewise, the growth rate in the Africa Middle East region and China was 8. In contrast, the majority of countries in Europe and Japan still have weak or even negative growth rates, while the United States was the only developed country with positive growth. The global market is still led by the growth in the number of mobile data services.

Telecommunications Sector Developments. Global GDP fell to 3. Against this economic backdrop, the growth in the global telecommunications services market slowed down in , with growth of 2. Cell phone revenues grew in all regions apart from Europe where they fell by 0. The decrease in European cell phone operator revenues is even more striking when compared to the 4. Despite the difficult context, which was made worse by pressure on operator margins and investments, the sector is still growing, particularly data traffic as a result of the roll out of fixed and mobile high capacity broadband networks and the investments made in accessing new generation networks.

In parallel, the massive take-up in developed economies of new connected handsets, particularly smartphones and tablets, has contributed to the increased use. The markets. Previous trends have continued, such as the replacing of fixed line with cell phones, technological innovation and the development of broadband and high capacity mobile broadband:. The replacement of fixed-line phones by cell phones, along with a shift toward IP, even in emerging countries, where fixed infrastructures suffer chronic deficits, explains the drop in the number of fixed lines being connected, as well as the drop in the average revenue per line;.

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The growth of this technology is faster in Asia and the United States than in Europe. In all regions, priority is given to adapting the mobile networks in order to support the growth in data traffic, and video traffic in particular, which is an important growth driver for operators;. Internet services continue to grow, and their importance in telecommunications services as a whole has slowly but surely increased.

They are still the drivers of growth for the global ICT market and are expected to increase further still with the democratization of broadband Internet connectivity for cell phones. Geographic regions. When looking at trends in different geographic regions, growth in telecommunications remains very uneven.

This strong dynamic has allowed the region to increase its footing on the international scene however, in terms of value, it still only accounts for 7. Revenues from telecommunications services in mature markets fell in This was due to the negative impact of the macroeconomic situation, saturation of the markets and the transfer of value to other ITC segments content services and Internet services such as Cloud Computing.

In Europe, the economic recovery did not take place and this had an impact on purchasing and spending power, while the competition continued between low price operators and operators of Internet communication applications Skype, WhatsApp, Viber.

The United States was the only developed country with increased telecommunication revenues 2. This is due to the boom in mobile data and the growth of broadband Internet. Source: Idate.


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At the height of the economic crisis, emerging markets continued to grow, although at a slower rate than previously. In Africa, telecommunications gained significant importance in the economies of the majority of countries. The growth of the telecommunications sector in this region is linked to demographic growth and an increased penetration rate.

The 2000-2005 World Outlook for Monochrome Televisions (Strategic Planning Series)

Voice continues to grow and there is significant potential for the growth of data communications; the region has more than one billion inhabitants and the Internet penetration rate is still very low. Value-added services such as new mobile payment services make this a dynamic and innovative market. Latin America, despite advanced maturity in terms of services, also has good growth potential. Deregulation has created a strong growth dynamic for equipment and usage growth. Yearly growth of mobile services is still very high. Also, the dynamic economy has sustained increased demand, although some countries such as Brazil have seen a net slowing in their activity for a few years now.

Furthermore, the drop in revenues from fixed services has stabilized and there has been a very small increase in the broadband Internet penetration rate. The growth of this market slowed slightly in with some strong differences: Japan has not grown since the mids and continues to drop 1. Globally, the decline in fixed-line telephony services has accelerated a fall of Prospects and trends in the telecommunications service market. Growth is expected to continue in emerging countries, in contrast with trends in the rest of the world. According to various analyses, telecommunications revenues are expected to increase at least five times faster in this region than in developed countries in This will mean that mobile service revenues in emerging markets will be higher than those in developed markets by In Europe, previous trends are expected to continue.

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The telecommunications market is still dynamic in terms of volume and innovation, but generates less value due to stiffer competition. This leads to pressure on margins and investments, as roll out of fixed and mobile high capacity broadband networks has to take place to cope with increasing traffic and respond to the challenges posed by Internet giants. Against this backdrop, one of the major challenges for operators is to capture the value linked to the growth in usage and monetize data flows. They also need to streamline their cost structures to be able to finance their development and grasp growth opportunities.

Competition will remain fierce, especially with over the top OTT players such as Google, Amazon, Microsoft Skype and Apple, which are a threat to telecommunication operator revenues for services such as voice over IP or text messages.

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Operators are attempting to respond to this challenge by launching their own services based on the OTT model, such as the Joyn unified communications service adopted by the France Telecom-Orange Group. In parallel, alliances between operators and OTT players are expected to increase in a spirit of cooperation. Mobile broadband is the biggest growth driver for operators. This segment is predicted to grow by close to Other growth opportunities for operators include developing Cloud systems, M2M, the Internet of things, TV and video and digital games.

The 2000-2005 World Outlook for Monochrome Televisions (Strategic Planning Series)

New generation 4G LTE networks are also expected to be rolled out all over the world, especially in emerging countries. Europe, with its slower roll out pace, is expected to more than double its LTE customer base in source: Pyramid Research Finally, the adoption of joint investment models and network sharing between operators is expected to accelerate under the pressure of lack of frequencies and rising network roll out costs. Regulation authorities are expected to favor this type of movement and pooling could therefore accelerate in the European mobile sector Germany, Italy, Spain and in the United States.

Source: Cisco VNI In France Telecom-Orange continued to implement its adapt to conquer strategic roadmap, which breaks down the Conquests goals into specific action items and quantifiable targets. The Business Environment. Technological breakthroughs like the transition to everything-over-IP are driving convergence between computers and networks and between fixed-line, mobile, and Internet services, requiring the Group to remain at the cutting edge of the latest advancements;.

To respond to these challenges, seize new opportunities, and penetrate promising new markets and regions, France Telecom-Orange can capitalize on world-class assets such as:.


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Conquest our Strategic Project. The project focuses on four key areas: people, customers, networks, and international development. The Group has set ambitious objectives in each of these areas. Adapt to Conquer our Strategic plan. These programs are being rolled out over different periods. The Operational Programs.