Light Reading
Also in today's EMEA regional roundup: Testing times at Spirent; NSN provides vendor funding in Saudi; EE's on its way to Wembley.

Euronews: Telefónica Plans Capex Rise

Paul Rainford
2/27/2014
50%
50%

Also in today's EMEA regional roundup: Testing times at Spirent; NSN provides vendor funding in Saudi; EE's on its way to Wembley.

  • Telefónica SA (NYSE: TEF) announced a significant increase in its planned capital expenditure for 2014 today as it announced its full-year results for last year. In 2013, the Spanish giant, which has more than 323 million customers across Europe and Latin America, spent about 14.5% of its total sales on its network and system investments (excluding spectrum license costs). With 2013 revenues at €57 billion (US$78 billion), that puts last year's capex at just short of €8.2 billion ($11.1 billion). Now, though, the carrier says it is to increase its capex to 15.5-16% of revenues in 2014 to "stimulate growth, to [deliver] network differentiation and to improve market positioning, among other reasons." With its revenues likely to rise slightly this year, Telefónica looks set to pump almost €9.2 billion ($12.5 billion) into its networks and support infrastructures. In the company's earnings announcement, Telefónica Chairman, César Alierta, said: "Among our targets, we will continue accelerating revenue growth and, at the same time, we will increase investments to anticipate to the growing demand from the increasingly intensive data service usage, as well as the recovery of demand expected in some of our main markets… In 2014 Telefónica will double the fibre coverage in Spain to 7.1 million homes passed, reaching the highest coverage levels among the largest economies in Europe. In Brazil we will also increase fibre coverage to 2.5 million homes. In the mobile business, we will expand 4G usage in Europe reaching an average coverage of more than 50%, while we continue leading the mobile data market in Latin America with the progressive launch of 4G." (See Telefónica Reports 2013 Profit Growth.)

  • "Strong headwinds in certain market segments" and "spending caution by Chinese customers" were two of the reasons given for a substantial fall in earnings and profits at Spirent Communications plc (NYSE: SPM; London: SPT), the test and measurement technology vendor. In its full-year results for 2013, revenues slipped from $472.4 million to $413.5 million, while pre-tax profits plummeted from $108.4 million to $39.1 million. (See Spirent Reports Full-Year Results.)

  • Etihad Etisalat Co. (Mobily) , the Saudi Arabian mobile operator, is to benefit from an additional $280 million in vendor funding from Nokia Networks , taking the total funding to $605 million. The cash is to finance a major upgrade of the operator's 4G, 3G, and 2G networks over the next two years. For more details, see this press release. The operator has also struck a vendor financing deal, again valued at $280 million, with Ericsson AB (Nasdaq: ERIC) for equipment and services that will support the mobile infrastructure upgrade.

  • Colt Technology Services Group Ltd (London: COLT), the pan-European service provider, saw its full-year revenues decline 1.2% year-on-year in 2013 to €1.59 billion ($2.17 billion) and pre-tax profits fall 31.1% to €42.4 million ($57.8 million). Adverse currency movements and regulatory price pressures copped some of the blame.

  • UK mobile joint venture EE has signed a six-year deal with the company that runs London's iconic Wembley Stadium to provide, among other things, mobile ticketing solutions, enhanced mobile network access, and "super-fast" Wi-Fi. Financial details were not disclosed.

    EE CEO Olaf Swantee: A safer pair of hands than Joe Hart? (US readers: Google it.)
    EE CEO Olaf Swantee: A safer pair of hands than Joe Hart? (US readers: Google it.)

    — Paul Rainford, Assistant Editor, Europe, Light Reading

    (3)  | 
    Comment  | 
    Print  | 
  • Newest First  |  Oldest First  |  Threaded View
    tojofay
    50%
    50%
    tojofay,
    User Rank: Moderator
    2/27/2014 | 2:02:49 PM
    Re: Telefonica
     

    Maybe they will shop in Sunnyvale at Infinera

    Telefonica I+D and Infinera First to Demonstrate 10Tb/s of Super-Channel Capacity

    Madrid, Spain and Sunnyvale, CA – Feb. 12, 2013 – Telefónica, a leading Tier-1 network operator, and Infinera, a leading provider of Digital Optical Network solutions, announced today the successful completion of a joint Terabit Technology Showcase. The Terabit Technology Showcase demonstrated pioneering implementations of advanced technologies expected to increase the capacity of future optical networks.
    DOShea
    50%
    50%
    DOShea,
    User Rank: Blogger
    2/27/2014 | 12:40:59 PM
    Re: Telefonica
    Also, Telefonica seems to be having a really busy week--earnings, capex ambitions, a big NFV strategy right before MWC and mobile security news at MWC. And I'm probably missing something. Do they always report earnings at the same time as MWC? I guess they've got home field advantage for the media's attention during MWC, so why not?
    DOShea
    50%
    50%
    DOShea,
    User Rank: Blogger
    2/27/2014 | 9:47:30 AM
    Telefonica
    Aggressive NFV plans AND rising capex. Maybe the two can go hand in hand.
    Educational Resources
    sponsor supplied content
    Educational Resources Archive
    Flash Poll
    From The Founder
    It's clear to me that the communications industry is divided into two types of people, and only one is living in the real world.
    Jonestown
    Mobile Backhaul: Going to the Dark Side?

    10|30|14   |   2:26   |   (0) comments


    Heavy Reading's Patrick Donegan shares his view on a dark trend that bubbled up at Light Reading's annual backhaul conference in NYC.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview With CEO of SwitchCom

    10|30|14   |   4:13   |   (0) comments


    SwitchCom, an IT company based in Angola, recommends a variety of Huawei solutions and hardware to their customers in the energy industry.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview With Ethiopia's Ministry of Water Irrigation & Energy

    10|30|14   |   4:08   |   (0) comments


    Gosaye Mengistie of Ethiopia's Ministry of Water Irrigation & Energy discusses the collaboration with Huawei in that country.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview with Dongfang Electronics Corporation

    10|30|14   |   5:46   |   (0) comments


    Dongfang Electronics Corporation, headquartered in Chengdu, China, is one of China's largest manufacturers of power generators and contractors of power station projects.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview with Zimbabwe's Customers

    10|30|14   |   3:31   |   (0) comments


    Representatives of Zimbabwe's Ministry of Power and Development discuss the energy needs of their country as well as new areas of improvement due to enhanced ICT capabilities.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview With Colbún Chile

    10|30|14   |   4:29   |   (0) comments


    In Chile, an aging energy infrastructure was in dire need of a modern update. Claudio Valenzuela of Colbún discusses how Huawei's ICT solutions continue to provide crucial information to improve the grid and how an in-country engineer is a cricial asset.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview With YuLiao

    10|30|14   |   6:27   |   (0) comments


    Yu Liao, chairman of the Chinese Association for Renewable Energy in Germany, discusses the role that ICT solutions play in helping to grow renewable energy resources in Germany.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview

    10|30|14   |   2:54   |   (0) comments


    Sifang has been working with Huawei on several projects. JingTao Wu, Assistant President of Beijing Sifang Automation Co. Ltd., believes that the cooperation with Huawei can facilitate Sifang's process of internationalization.
    LRTV Huawei Video Resource Center
    A Better Connected Smart Grid: Powering Laos

    10|30|14   |   5:38   |   (0) comments


    Representatives of Electricite Du Laos (EDL), a state-owned corporation, discuss the importance of ICT solutions in serving their country's energy needs.
    LRTV Huawei Video Resource Center
    2014 Huawei Electric Power Industry Summit: Interview With Junwei Lu

    10|30|14   |   4:50   |   (0) comments


    Professor Junwei Lu of Griffith University Australia describes his work with micro grid technology and the future of the power industry.
    LRTV Documentaries
    The Next-Gen Network Disconnect

    10|29|14   |   01:23   |   (2) comments


    There's a lot of talk about making networks more simple with SDN, NFV and next-gen broadband technology – but what about the complexity of introducing such capabilities?
    LRTV Custom TV
    Grow Your VPN Service Revenue

    10|27|14   |   4:00   |   (0) comments


    Watch how CSP product managers can better differentiate and maximize the value of their Internet, VPN and cloud services for business services customers, by adding premium application performance visibility to their data services.
    Upcoming Live Events
    November 6, 2014, Santa Clara
    November 11, 2014, Atlanta, GA
    December 2, 2014, New York City
    December 3, 2014, New York City
    December 9-10, 2014, Reykjavik, Iceland
    February 10, 2015, Atlanta, GA
    May 6, 2015, McCormick Convention Center, Chicago, IL
    May 30, 2015, The Westin Peachtree, Atlanta, GA
    June 9-10, 2015, Chicago, IL
    Infographics
    WhoIsHostingThis.com presents six of the world's most extreme WiFi hotspots, enabling the most epic selfies you can imagine.
    Hot Topics
    Microsoft's Skype Embraces WebRTC on IE
    Sarah Reedy, Senior Editor, 10/27/2014
    FTC Slaps AT&T With Throttling Lawsuit
    Sarah Reedy, Senior Editor, 10/28/2014
    Wheeler Gets Down With OTT
    Mari Silbey, Independent Technology Editor, 10/29/2014
    China's MVNOs Hit the Wall
    Robert Clark, 10/27/2014
    Let's Not Kill SDN & NFV With Silos
    Francois Locoh-Donou, Senior VP, Global Products Group, Ciena, 10/28/2014
    Like Us on Facebook
    Twitter Feed