Telenor Research

Topics: Mobile phone, Mobile network operator, Cellular network Pages: 7 (1998 words) Published: April 12, 2013
Telenor is 100% owned by the Telenor Group, which is an international provider of voice, data, content and mobile communication services in 11 markets across Europe and Asia and in additionally 19 markets through its 31.67 per cent ownership in VimpelCom Ltd. Telenor Group is among the largest mobile operators in the world with over 140 million mobile subscriptions (Q4 2011) and a workforce of 30,000. Telenor started out as a public company in 1855 and builds on more than 155 years of telecom experience. Telenor Pakistan

Telenor is the second largest mobile operator in Pakistan. Telenor Pakistan is a wholly-owned subsidiary of Telenor. On 26 May 2004, Telenor was awarded a GSM licence to build and operate a mobile network in Pakistan. On 15 March 2005, a full multimedia platform for commercial mobile services was launched under the name of Telenor Pakistan. Telenor Pakistan owns 51% of Tameer Micro Finance Bank. As at 31 March 2012, Telenor Pakistan had 29.4 million mobile subscriptions. As at 31 March 2012, the mobile penetration and number of inhabitants in Pakistan were 69% and 176 million, respectively. Subscriber base (Jan 2012)| 28.47 million|

SIM Market Share| 24%|
Customer base(Oct 2012)| 30 Million|

Telco as whole
The telecommunication companies in Pakistan, as whole are likely to face a tough challenge in maintaining their revenue levels (if not increasing it) due to a recent ban on sale of new SIMS through retailers. The companies are notified that the companies are allowed to sale their new connections through their company’s own service centered or franchises. This resulted in decreased revenues for not only Telco companies but also for government. The companies had to face the loss of Rs. 4 billion in revenues due to drop in the new sales by 75% in just two months. While the government earned 29% less revenue compared to the last year’s record. If this trend goes on, the five operators may lose Rs. 35 billion in 2013 or around 10 percent of their revenues, and the government will collect Rs. 10.5 billion lesser in taxes. The cellular industry used to generate revenue of 30 billion per month before the generation of notification by PTA. Number of new connections sold by different companies in January 2013 is: Ufone| 300,000|

Zong| 295,000|
Mobilink| 286,000|
Telenor| 250,000|
Warid| 112,000|

Mobilink| 29.2%|
Telenor| 24.2%|
Ufone| 19.1%|
Warid| 1409%|
Zong| 12.6%|
Other reason that has resulted in the diminished revenues of telecom industry is forced network outage that has causes all five cellular companies a combined loss in revenue of Rs. 3 billion till now. And this is expected to raise further resulting in more loss due to suspension of services on various occasions due to potential threat of terrorism, which are usually considered to be the best paying days for telcos. The Government has also faced a loss of Rs. 900 million due closure of cell phone services. The government and especially the Ministry of Interior had kept a keen focus on telecom sector in recent months to resolve the issue of terrorism. It has taken multiple measures to tackle terrorism which have eventually caused huge losses to the industry and the government itself.

Operating loss|
(1st quarter 2009)| $14.3 million|
2008| $ US 49 million|
Average revenue per user in Pakistan stood at just Rs. 252 ($ US 3) per subscriber per month in the first quarter, the lowest in all 13 countries in which Telenor operates, but the number of subscribers grew by nearly 20 percent year-on-year. In the quarter 2nd of 2009, Telenor Pakistan has posted a growth in revenues by 8% and netting 908k subscribers compared to 597k in the previous quarter. A court in Moscow allowed the sale of shares owned by Telenor in VimpelCom, a number two company by size in Russia, in which Telenor has 29.9 % of shares. Following the orders by...
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