Italy Telecommunications Q4 2019
The mobile market is saturated, and with a high number of low-value subscribers, we believe its organic growth will belimited going forward. With Iliad's arrival in mid-2018, competition has clearly intensified, with the newcomer targeting a 10% marketshare. Iliad will face an uphill battle and will have to differentiate itself with a strategy beyond low prices in an already low-costmarket. The roll-out of broadband networks in largely unconnected rural areas will provide scope for growth in the wireline segment.The Italian government is investing heavily to expand broadband services in the country and would reportedly consider selling itsstake in Open Fiber to Telecom Italia in exchange for a higher share in the latter company. This could lead to consolidation of the twocompanies' fixed networks.
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