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.
    LRTV Interviews
    From 4G to 5G: Alcatel-Lucent's Dave Geary

    11|25|14   |   09:09   |   (1) comment


    Dave Geary, President of Wireless at Alcatel-Lucent, talks about the evolution of the 4G market, small cells, partnerships, 5G and the IoT.
    LRTV Huawei Video Resource Center
    Building a Secure Telefonica Network With Huawei's High-End Firewall

    11|24|14   |   4:37   |   (0) comments


    Andrew Davies, IP architect of the Telefonica, a leading digital communications company, discusses the Huawei security gateway solution and putting the solution into the testbed.
    LRTV Huawei Video Resource Center
    Huawei Partners with Spirent to Verify CE12816's 10GE Port & TRILL Networking Capabilities

    11|24|14   |   2:50   |   (0) comments


    Spirent Communications is the world's leading supplier for telecom testing appliances and solutions. Spirent has been in a close partnership with Huawei for a long time.
    LRTV Huawei Video Resource Center
    Saudi Airlines & Its ICT Transformation

    11|24|14   |   2:07   |   (0) comments


    In this video, Saudi Airlines discusses its network problems and how Huawei's Agile Network is its all-in-one solution.
    LRTV Huawei Video Resource Center
    Huawei's Agile Switch Benefiting Saudi Arabia's Yamamah Hospital

    11|24|14   |   2:40   |   (0) comments


    Saudi Arabia's Yamamah Hospital speaks about how Huawei's Agile Switch has improved the medical service's network infrastructure.
    LRTV Huawei Video Resource Center
    FanPlay & Huawei Build a Wireless Agile Smart Stadium

    11|24|14   |   2:13   |   (0) comments


    FanPlay is a cloud-based white label service, which is effectively a football fan engagement platform underpinned by mobile payment technology.
    LRTV Huawei Video Resource Center
    Building an Agile Stadium

    11|24|14   |   3:54   |   (0) comments


    Stadiums may be thousands of tons of concrete and steel, but they now need to be agile. Being at the stadium may not be as alluring as it once was. Sports franchises and stadium operators discuss how to get fans back.
    LRTV Huawei Video Resource Center
    Huawei Helps ChinaCache Tackle Challenges in the Internet Industry

    11|24|14   |   3:09   |   (0) comments


    ChinaCache is China's largest content distribution network supplier. Huawei's CE12800 has provided ChinaCache with very strong support in its establishment of an infrastructure network.
    LRTV Huawei Video Resource Center
    Cefinity on Managed Security Services & Next-Generation Firewall

    11|24|14   |   7:05   |   (0) comments


    Cefinity is a cloud management service provider in Southeast Asia. Ivan Zhang, CEO of the company, discusses the implementation of security service management in the cloud era.
    LRTV Huawei Video Resource Center
    Huawei's Agile Gateway in the Eyes of Cefinity

    11|24|14   |   2:11   |   (0) comments


    Cefinity is a managed service provider for enterprise networks. The company currently uses Huawei's AR series routers for the most complete range of functions. CEO Ivan Zhang speaks about the advantages of the AR series routers.
    LRTV Huawei Video Resource Center
    CTO of Bus-Online Talks About Huawei's Agile Gateway

    11|24|14   |   2:53   |   (0) comments


    Bus-Online covers around 100 million users everyday. In addition to providing mobile TV, and advertising services to the public, Bus-Online has also entered the field of mobile Internet.
    LRTV Huawei Video Resource Center
    Amsterdam ArenA as an Agile Campus

    11|24|14   |   3:31   |   (0) comments


    The Amsterdam ArenA, home of the Ajax soccer team, can be a crowded space. ArenA has partnered with Huawei to work on bringing ample bandwidth to 53,000 people at the same time.
    Upcoming Live Events
    December 2, 2014, New York City
    December 3, 2014, New York City
    December 8-10, 2014, Reykjavik, Iceland
    February 10, 2015, Atlanta, GA
    April 14, 2015, New York City, NY
    May 6, 2015, McCormick Convention Center, Chicago, IL
    May 13-14, 2015, The Westin Peachtree, Atlanta, GA
    June 9-10, 2015, Chicago, IL
    Infographics
    Irish Telecom outlines the rise of VoIP technology, including its adoption within businesses and their perception of its quality.
    Hot Topics
    $38.3M: Ain't That a Kik in the SMS
    Sarah Reedy, Senior Editor, 11/20/2014
    Do You Have a 2020 Vision?
    Dennis Mendyk, Vice President of Research, Heavy Reading, 11/21/2014
    Operators Should Block Ads to Get Their Cut, Startup Says
    Sarah Reedy, Senior Editor, 11/24/2014
    $35B+ Spectrum Auction Dings Verizon, Shines Dish
    Dan Jones, Mobile Editor, 11/24/2014
    Last Chapter (11) for Aereo
    Mari Silbey, Independent Technology Editor, 11/21/2014
    Like Us on Facebook
    Twitter Feed