T-Mobile market share continues to erode in 2006

Competition

Market share of T-Mobile Zrt, Magyar Telekom Nyrt's wireless services division, continued to erode in 2006, but the company still maintained its comfortable lead. T-Mobile had a market share of 44.7% at the end of October, down slightly from 45% in December 2005, Magyar Telekom's deputy CEO in charge of mobile services János Winkler said on Friday.

Winkler said the drop in market share was not bad, considering the company earlier lost as much as 2.4% market share in a year, and the fall in the number of active users was just 0.04%. T-Mobile controlled 50%-54% of the corporate market in 2006, including 60%-65% of subscriptions at Hungary's biggest 500 companies. The proportion of post-paid clients rose to 35%-36% of total subscribers in 2006, Winkler said. T-Mobile's average revenue per user (ARPU) rose a slight Ft 20 to Ft 4,917 in 2006. The share of revenue from data transfer was 15%-16%, with the rest voice traffic.
T-Mobile has sold 4,000 notebook computers together with a wireless modem as part of a recently introduced special promotion. The company expects to sell 6,000-7,000 of the notebooks by year-end, making it one of the biggest players on the notebook market, Winkler said. T-Mobile's 3G network, which allows faster data transfer than its conventional network, has 28%-30% coverage of the country, but this is expected to increase to 45%-50% next year. The company expects to sell 70,000 3G-enabled devices this year. 

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