Swedish telco to launch in Irish market

jwt

here


30.08.2004 - Siliconrepublic.com has learned that Swedish telecoms giant Tele2 is to establish a presence in the Irish market this week. It is envisaged that the presence of Tele2, which has business interests all over Europe, will have a disruptive effect on the existing telecoms market in Ireland in terms of pricing.

Sources confirmed that the company will be revealing its plans this week. While job numbers were not revealed it is understood that the company already has an Irish management team in place and “intends to grow staff numbers as the business itself grows.”

Infrastructural details were not revealed but it is understood that Tele2’s Irish operations will be connected to Tele2’s existing network in the UK.

Tele2 has over 24 million customers in 24 countries and offers products and services in fixed and mobile telephony, internet access, data networks, cable TV and content services. The company describes its main competitors as: “the former government monopolies.”

Tele2 was founded in 1993 by Jan Stenbeck and has been listed on Stockholmsbörsen since 1996. The share has also been listed on Nasdaq since 1997. In 2003 the company had an operating revenue of SEK 36,911m (€4bn) and reported a profit of SEK 5,710m (€625m) EBITDA.

In a circular to journalists last week, a spokesperson for the company said: “The entry will offer calculated cost reductions head to head with the Irish fixed telephone companies and offer more competitive pricing to the Irish telephone user.”

By John Kennedy and John Collins

John

spongebob

Expect vast amounts of cheap VOIP deals

M

Paddy20

Luverly jubberly Good luck 'EirCoN', your gonna need it ! ROFL :cool:

Sztraik

I used Tele2 for years in Italy and it used to be the cheapest telco. Never had a problem with them...

Capt'n Midnight

I take it there is no chance of them supplying 100Mb broadband...

bealtine

call me a sceptic if you will:)

I'd almost guarantee that they will come in, look at the current pricing and decide they too can join in and get a piece of the action by milking the situation and charging similarly outrageous prices for calls etc.

Wasn't BT the "great white saviour" once? and they have just sat around whining and doing zilch since they got here.

This is the piracy that is telecoms in Ireland

JTMan

Muck wrote:

Expect vast amounts of cheap VOIP deals

M

Tele2 do Voip?
Tele2 in the UK just slightly discount BT rates and advertise very heavily.

Great to see some more competition for Eircon. On the back of the UTV and Esat BT unlimited calls and WLR offers the market is starting to look a lot more competitive

naitkris

Capt'n Midnight wrote:

I take it there is no chance of them supplying 100Mb broadband...

i've heard that they are going to enter the broadband market soon enough, so more than likely expect cheaper and better quality broadband (although i doubt 100Mbit or even 10Mbit consumer DSL because of existing infrastructure problems here)... anyways, it's about time a Swedish telco entered the Irish market and show the Irish telcos how it's done...

andrew163

http://www.tele2.ie

is that them?

seamus

andrew163 wrote:

http://www.tele2.ie

is that them?

It sure is. They've been running an entertaining ad on Terrestrial TV since Monday. Good prices too. They still run with a minimum call charge of 6.35c though

radiospan

I saw an ad for them on E4 Ireland today. Do they supply broadband in other countries?

Calibos

bealtine wrote:

call me a sceptic if you will:)

I'd almost guarantee that they will come in, look at the current pricing and decide they too can join in and get a piece of the action by milking the situation and charging similarly outrageous prices for calls etc.

Wasn't BT the "great white saviour" once? and they have just sat around whining and doing zilch since they got here.

This is the piracy that is telecoms in Ireland

I share your scepticism Bealtine. These foreign companies entering the Irish market invariably merely undercut the Irish competion by a tiny amount which is enough to get them a decent market share. They charge what the market will bear which is quite a lot in Rip-off Ireland. They look at their own domestic revenue per customer figures and look at what they can make in the Irish market and can't wait to get a piece of the action.

jwt

Yep look at Bank of Scotland and mortgages.

Undecut everyone till they got their share, and voila a new member of the Irish banking cartel.

John