Executive summary
Kosovo’s regulator issues spectrum to boost mobile broadbandKosovo has benefited from financial and regulatory assistance as part of the EU pre-accession process. The EU remains Kosovo’s main trading partner and its main source of foreign direct investment. The economy is significantly driven by trade with Germany and Switzerland, where most expatriates live and work. Remittances from such workers form an important part of household incomes.
The country’s telecom sector has been liberalised, with legislation introduced in late 2012 to align with the EU’s revised regulatory framework. It also adopted measures relating to competition and to facilitating the market entry of new players. Nevertheless, poor telecom infrastructure has meant that fixed-line penetration remains low by European standards. Unlike most markets, the fixed-line broadband sector is dominated by new players, in particular the cable operator Ipko, a subsidiary of Telekom Slovenia.
Broadband penetration in Kosovo is developing, though slowly. There is effective competition between the main cable and DSL operators, though as yet there is little progress with the expansion of fibre networks: investment by the incumbent PTK in building out an upgraded fibre-based NGN has been insufficient thus far. Although there are a number of smaller ISPs the sector is dominated by only three players: PTK, Ipko and Kujtesa. Cable accounts for the majority of broadband connections.
The mobile sector accounts for most telecom lines for voice services, as well as the greater part of telecom revenue. Two MNOs compete with two MVNOs, though the latter have a very small market presence. The prepaid sector accounts for the vast majority of subscribers, but it is gradually losing ground as more contract subscribers sign up for services. 3G services were launched as late as December 2013, while LTE infrastructure remains limited. However, on the back of expanding LTE networks developing mobile data services will become increasingly important in coming years as a source of new revenue growth for operators.
Key developments:
Kosovan government requests that Telekom Srbija be granted temporary licence to operate in Kosovo;
Regulator preps for additional mobile licences to be used for mobile broadband;
Sale of a 75% stake in PTK cancelled until the company improves its performance;
Vala launches LTE services;
Albtelecom and PTK complete the second fibre-optic system between Albania and Kosovo;
PTK expands fixed-line services with €10 million investment;
Kosovo adopts new Law On Electronic Communications;
Ipko launches an 80Mb/s service offer;
Report update includes the regulator’s Q3 2015 market data, telcos’ data to Q3 2015, recent market developments.Market penetration by telecom service – 2015 (e)
Penetration rate by service:Penetration
Fixed-line3.1%
Fixed broadband11.6%
Mobile97.6%
(Source: BuddeComm based on industry data)
Companies mentioned in this report:
PTK, Ipko, Artmotion, Kujtesa; Dukagjini Telecommunications, Dardafon.
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1. Executive summary
2. Key statistics
3. Country overview
4. Telecommunications market
4.1 Market analysis
5. Regulatory environment
5.1 Regulatory authorities
5.2 Market liberalisation
5.3 Privatisation
5.4 Interconnect
5.5 Access
5.6 Number Portability (NP)
6. Fixed network operators
6.1 Post and Telecom of Kosovo (PTK)
6.2 Ipko
6.3 Kujtesa
6.4 Kone
7. Telecommunications infrastructure
8. Broadband market
8.1 Introduction and statistical overview
8.2 Broadband statistics
8.3 Forecasts – fixed broadband subscribers – 2015; 2017; 2020
8.3.1 Notes on scenario forecasts
8.4 Hybrid Fibre Coax (HFC) networks
8.5 Digital Subscriber Line (DSL) Networks
8.6 Other fixed broadband services
8.6.1 Wi-Fi
9. Digital media
9.1 Introduction
9.2 Cable TV
10. Mobile communications
10.1 Market analysis
10.2 Mobile statistics
10.3 Mobile data
10.3.1 Short Message Service (SMS)/Multimedia Messaging Service (MMS)
10.4 Mobile broadband
10.5 Regulatory issues
10.5.1 First mobile licence
10.5.2 Second mobile licence
10.5.3 Third mobile licence
10.5.4 Spectrum auctions
10.5.5 MVNO Framework
10.5.6 Mobile Number Portability (MNP)
10.6 Mobile infrastructure
10.6.1 Digital networks
10.6.2 Other infrastructure developments
10.7 Major mobile operators
10.7.1 Vala
10.7.2 Ipko
10.7.3 Mobile Virtual Network Operators (MVNOs)
11. Related reports
Table 1 – Country statistics Kosovo – 2015 (e)
Table 2 – Telephone network statistics – 2015 (e)
Table 3 – Internet user statistics – 2015
Table 4 – Broadband statistics – 2015 (e)
Table 5 – Mobile statistics – 2015 (e)
Table 6 – National telecommunications authority
Table 7 – Telecom revenue by sector – 2009 - 2015
Table 8 – Market share of revenue by sector – 2010 - 2015
Table 9 – Market share of fixed-telephony revenue by operator – 2009 - 2015
Table 10 – PTK financial data – 2007 - 2014
Table 11 – PTK financial data by sector – 2011 - 2014
Table 12 – Ipko revenue – 2011 - 2015
Table 13 – Ipko investment – 2012 - 2014
Table 14 – Fixed line subscribers and teledensity – 2004 - 2015
Table 15 – Fixed lines in service and teledensity – 2012 - 2015
Table 16 – Broadband subscribers and penetration – 2007 - 2014
Table 17 – Broadband subscribers by operator – 2007 - 2012
Table 18 – Ipko broadband subscribers – 2006 - 2015
Table 19 – Broadband market share of subscribers by operator – 2010 - 2015
Table 20 – Broadband market share by platform – 2007 - 2011
Table 21 – Forecast broadband subscribers – 2015; 2017; 2020
Table 22 – Cable broadband subscribers – 2007 - 2012
Table 23 – DSL broadband subscribers – 2007 - 2012
Table 24 – Wireless broadband subscribers – 2007 - 2011
Table 25 – Mobile subscribers and penetration rate – 2004 - 2016
Table 26 – Mobile market share by subscribers – 2004 - 2015
Table 27 – Mobile market revenue – 2008 - 2015
Table 28 – Prepaid as proportion of total mobile subscribers – 2007 - 2012
Table 29 – Vala SMS traffic – 2009 - 2014
Table 30 – Mobile broadband subscribers – 2013 - 2015
Table 31 – Vala subscribers – 2008 – 2015
Table 32 – Vala mobile revenue – 2007 - 2014
Table 33 – Vala mobile traffic – 2011 - 2014
Table 34 – Ipko mobile revenue – 2007 - 2011
Table 35 – Ipko mobile subscribers – 2009 - 2015
Chart 1 – Telecom revenue by sector – 2009 – 2015
Chart 2 – PTK financial data – 2007 – 2014
Chart 3 – Fixed lines in service and teledensity – 2004 – 2016
Chart 4 – Mobile subscribers and penetration rate – 2004 – 2016
Chart 5 – Mobile market share by subscribers – 2004 – 2015
Exhibit 1 – Access, the local loop and unbundling – an overview
