Market Trend

Demand increase for next-generation Hungarian broadband network

Despite Hungary’s slow economic growth and a continuing contraction in GDP throughout 2010, its telecoms market has fared relatively well.

Consultancy firm Buddecomm reports that broadband is the most popular connection for internet, with 50% of Hungarian households using fixed broadband access. Hungary’s mobile market has matured to over 100% penetration and the country’s three operators have shifted focus to increasing ARPU, improving mobile broadband services and expanding 3G network coverage. 2010 saw Hungary’s fixed-line mobile market suffer a decrease in subscribers and reduced revenue for foreign investors because the Forint devalued. Hungary’s three network operators are wholly or majority-owned by western European telcos.

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