Business Review

Telecom operators’ online stores are increasingly becoming important sales channels for their products and services, especially for the more technically-savvy customer, and Orange, Vodafone and Romtelecom have already opened online outlets. Not only that, but some are forming partnerships with other online retailers to ensure a better dissemination of their products. For example, both Orange and Vodafone have on-going partnerships with eMag.

Otilia Haraga

The points of presence of telecom operators have continued to mushroom this year as the firms opened new stores, but also strengthened ties with their partners to have more points of sale (POS) for their products and services. The business model varies depending on the company. Some operators, such as Orange, have relocated, or re-negotiated the rent they pay for retail locations and opened new POS in franchise. Others, such as Romtelecom and UPC, have come up with new concepts to better present their products.

Otilia Haraga

Last year’s mobile handset market reached 5 million sold units. For the Romanian consumer, it’s all about the money. From a range of similarly-priced products, the brand, camera or video camera, media player and memory card will become factors, according to telecom pundits. Smartphones are performing increasingly well on the local market, while globally the smartphone is already spearheading the evolution of the handset into a complete device that encroaches upon computer territory.

Otilia Haraga

As Romtelecom continues to keep tabs on its expenses, it will also keep an eye open for new acquisitions on the market while investing in its network. The company’s efforts this year will go into positioning itself as an electronic entertainer on the market in Romania for the residential sector while in the business sector it aims to become a major ICT supplier. The operator will also open new concept stores in Bucharest, Constanta and Braila.

Otilia Haraga

An increasing number of companies are choosing e-training to up-skill their employees. Some will purchase specialized software and do the training in-house, sometimes to complement conventional in-class training. Pundits say no official evaluation of the e-training market exists at this point as it is still its infancy. They also believe that, while it has its advantages – such as cost-effectiveness, better time management and easier access to some resources – it will not supplant traditional training entirely.

Otilia Haraga

While worldwide sales of smartphones are tipped to overtake PCs by the end of 2011, Romania is not showing signs of being in sync. On the contrary, soaring smartphone sales go hand in hand with computer sales locally, as they are different kettles of fish. Here, sales of IT products plunged to painful lows, and this year is believed to be all about survival for IT hardware firms, in spite of good future growth potential, given the dearth of IT infrastructure in essential sectors of the economy.

By Otilia Haraga

One sign that the telecom market is reaching maturity is that telecom players have shifted attention from general offers to more honed ones, tailor made for certain groups or communities. However, operators are using these offers mainly to keep their current customers happy rather than setting their sights too high on attracting new ones. Given Romania’s high SIM penetration, the bulk of these firms’ revenue comes from their existing customer bases.

By Otilia Haraga

Total IT spending in 2009, including hardware, software, IT services, personnel and miscellaneous expenses, amounted to approximately EUR 1.8 billion, 15 percent less than in 2008. Of this sum, the hardware market made up approximately EUR 610 million, while software and services sales represented about EUR 640 million, according to data from Pierre Audoin Consultants (PAC). Despite having emerged stronger than the hardware market, software and services still slumped by approximately 12 percent in 2009.

By Otilia Haraga

As the telecom market edges ever closer towards maturity, operators are predicted to pursue the expansion of fixed and mobile data, increased internet speeds and digital television networks. Many will also transfer their networks to IP. Meanwhile, ANCOM is in the process of clearing frequency wavelengths to allow companies to provide 3G, WIMAX and 4G- LTE services.

By Otilia Haraga

Telecom operator Vodafone ceded its un-cashed debts to Glasro Holdings Ltd. from Cyprus, as announced by the Electronic Archive for Security Interests in Movable Property.