BMI View: We have made some positive revisions to the mobile forecast in this quarter to account for thelatest data from Q217. We note that the market continues to perform largely in line with our forecasts. TPGTelecom's aggressive bid to become the fourth national mobile carrier in the country over the next threeyears will bode well for mobile sector competition. Operators are aggressively developing their nationwide3G/ LTE services and bolstering their coverage in regional Australia as 2G networks are being terminated.
The fixed market is dominated by the National Broadband Network, which passed 4mn premises inFebruary 2017. Greater flexibility in terms of technology, with the addition of satellite and cable and themove towards vectoring and fibre to the node has helped uptake. On the content side, all operators arelooking to add premium services but they face strong competition from independent providers such asNetflix.
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We estimate the mobile market ended Q217 with 32.949mn subscriptions. Telstra shut down its 2Gnetwork in December 2016, with Optus following suit in April 2017 and VHA the following September.