Telecommunications industry
The telecommunications industries within the sector of
Traditional
The
Internet of Things (IoT), and mobile payments.— Deloitte[2]
Think of telecommunications as the world's biggest machine. Strung together by complex networks, telephones, mobile phones and internet-linked PCs, the global system touches nearly all of us. It allows us to speak, share thoughts and do business with nearly anyone, regardless of where in the world they might be. Telecom operating companies make all this happen.
— Investopedia[1]
Insight Research
Market segmentation
Of all the
Value chain
| segment | % share of revenues |
|---|---|
| Infrastructure and platform vendors | 5 |
| Device vendors | 20 |
| Operators | 55 |
Over-the-top content (OTT), content, advertising services |
10 |
| Retail and distribution | 10 |
Global players
| Company | Country | Market value ($ Bn) | Revenue | Profit |
|---|---|---|---|---|
| China Mobile | China | 213.8 | 88.8 | 20.5 |
| AT&T | USA | 200.1 | 127.3 | 7.3 |
Verizon Communications |
USA | 137.3 | 115.7 | 0.9 |
| Vodafone | UK | 135.7 | 74.4 | 11.1 |
| América Móvil | Mexico | 70.7 | 60.2 | 7.1 |
| Telefónica | Spain | 67.1 | 82.3 | 5.2 |
| Telstra | Australia | 58.4 | 25.8 | 3.5 |
Nippon Telegraph & Tel |
Japan | 58.2 | 127 | 5.6 |
| Deutsche Telekom | Germany | 48.8 | 76.7 | -7 |
Softbank |
Japan | 47.2 | 38.78 | 3.8 |
Mergers and acquisitions
Around 24,800 M&A deals have been conducted in the Telecommunication Industry with either the acquirer or the target company coming from the Telecommunications sector. In total over 5.712 bil. USD have been spent on M&A between 1985 and 2018 in this industry.[7] There has only been one big M&A wave around 1999 and 2000. In most other industry there are three waves between 1990 and 2018. Since 1999 deal value shrunk by -90.12% and is expected to stagnate in 2018.
Here is a list of the top 10 Telecommunication deals in history ranked by volume:
| Date Announced | Acquiror Name | Acquiror Mid Industry | Acquiror Nation | Target Name | Target Mid Industry | Target Nation | Value of Transaction ($mil) |
| 11/14/1999 | Vodafone AirTouch PLC | Wireless | United Kingdom | Mannesmann AG | Wireless | Germany | 202,785.13 |
| 09/02/2013 | Verizon Communications Inc | Telecommunications Services | United States | Verizon Wireless Inc | Wireless | United States | 130,298.32 |
| 03/05/2006 | AT&T Inc | Wireless | United States | BellSouth Corp | Telecommunications Services | United States | 72,671.00 |
| 05/11/1998 | SBC Communications Inc | Telecommunications Services | United States | Ameritech Corp | Telecommunications Services | United States | 62,592.54 |
| 01/15/1999 | Vodafone Group PLC | Wireless | United Kingdom | AirTouch Communications Inc | Telecommunications Services | United States | 60,286.87 |
| 01/26/2000 | Shareholders | Other Financials | Canada | Nortel Networks Corp | Telecommunications Equipment | Canada | 59,973.57 |
| 06/14/1999 | Qwest Commun Intl Inc | Telecommunications Services | United States | US WEST Inc | Other Telecom | United States | 56,307.03 |
| 06/24/1998 | AT&T Corp | Telecommunications Services | United States | Tele-Communications Inc | Cable | United States | 53,592.49 |
| 07/28/1998 | Bell Atlantic Corp | Telecommunications Services | United States | GTE Corp | Telecommunications Services | United States | 53,414.58 |
| 04/22/1999 | AT&T Corp | Telecommunications Services | United States | MediaOne Group Inc | Cable | United States | 49,278.87 |
Recent developments
The telecommunications sector has seen a large increase in the recent years. Whereas in 2015 there were 3.3 billion active mobile broadband subscriptions worldwide, in 2020 there were around 7.7 billion. This increase was due, in part at least, to the deployment of
During the COVID-19 pandemic, telecommunications was used to track the spread of COVID-19 and was use by remote workers to conduct business during the COVID-19 lockdowns.[9]
Societies
- Telecommunications Industry Association
- IEEE Communications Society
- Category:Telecommunications organizations
See also
- List of mobile network operators
- List of telephone operating companies
- Impact of the COVID-19 pandemic on science and technology#Telecommunications
- Category:Telecommunications companies
- All pages with titles containing telecommunications in
References
- ^ a b c "The Industry Handbook: The Telecommunications Industry". 7 January 2004.
- ^ "2017 Telecommunications Industry Outlook - Deloitte US". Deloitte United States.
- ^ "Insight Research - Telecom Market Research Reports, Industry Analysis, Custom Consulting Services". www.insight-corp.com.
- ^ "Worldwide Telecommunications Industry Revenue to hit $2.4 Trillion in 2020, says Insight Research" (Press release).
- ^ "Global telecommunications study: navigating the road to 2020" (PDF). EY.
- ^ "Top 10 Telecom Companies of the World 2013".
- ^ "M&A by Industries - Institute for Mergers, Acquisitions and Alliances (IMAA)". Institute for Mergers, Acquisitions and Alliances (IMAA). Retrieved 2018-02-28.
- ^ "Intelligence Report - Key Global Telecom Industry Statistics". researchandmarkets.com. Retrieved 2021-12-12.
- ^ "The telecom sector in 2020 and beyond". www.mckinsey.com. Retrieved 2021-02-05.
