Voice over IP services, marketed via dual- and triple-play bundles, are reshaping the European fixed-line market, according to data from Telegeography. At year-end 2008, 34.6 million consumer VoIP lines were in service in Western Europe, up from 25.9 million only a year earlier.
While the aggregate pace of growth across Europe is rapid, trends vary dramatically by country. For example, Telegeography noted market penetration at the end of 2008 ranged from more than 50 percent of households in France to less than 3 percent in Spain. Growth rates ranged from an anemic 11 percent in Norway to 190 percent in Portugal, the research firm added.
Interestingly, France Telecom and Telecom Italia are aggressively marketing VoIP services, while Deutsche Telekom and Belgacom have largely withdrawn their VoIP services from the market.
Cable service providers are key drivers of VoIP growth in the Netherlands, Belgium and Portugal, but are almost completely irrelevant in Italy.
