Communications (EMEA Market)

2022: Market growth of 2.4%

At the end of 2022, the cost of telecommunications and pay-TV services in Europe, the Middle East and Africa (region) EMEA reached $449 billion. This is 2.4% more than in the previous year, as stated in the report IDC published on May 16, 2023.

Analysts note that against the background of the current macroeconomic situation and high inflation, operators continue to raise tariffs. As a result, consumers are paying more, and the overall nominal market volume is growing at a higher rate. In 2022, the costs of telecommunications and pay-TV services in Western Europe rose by 1.1%, in Central and Eastern Europe - by 1.2%, in the Middle East and Africa - by 5%. The recorded unevenness of industry development in the EMEA region is associated with the observed geopolitical situation, rising interest rates and low market saturation in less developed countries.

IDC emphasizes that telecom operators in Europe continue to invest in advanced technologies, despite economic challenges. Companies hope to offset the decline in revenue from fixed and mobile voice services by deploying next-generation broadband networks. In addition, hopes are pinned on advanced 5G platforms.

In general, analysts say, telecommunications companies are transforming from providers of traditional mass demand services to providers of modern complex solutions. They create new data and analytics-driven go-to-market strategies and implement innovative business models. These are, in particular, services provided in accordance with the concept of "telecommunications as a platform." Thus, operators hope to become the leaders of the digital revolution and take a central position in the new digital world.^[1]

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