Dlugie Rozmowy returns to retail market

2007-04-13

Dlugie Rozmowy (DR), an alternative telecoms operator which offers services on a wholesale basis, is going to expand in the retail market. The company has signed an agreement with TP SA in accordance with which it will pay a flat fee every month for using the incumbent’s lines. DR will thus be able to offer subscriptions with unlimited calls.
The alternative telco is the first in Poland to sign such a contract with TP SA. DR insists that the wholesale market is no longer attractive, as prices fell in 2006. The company’s revenues grew by 70% during that year, but this trend is unlikely to continue. The operator wants, therefore, to return to the retail market, which it abandoned two years ago. It intends to offer a full package of telecommunications services, i.e. internet access and voice services. DR is expecting to sign a wholesale line rental (WLR) agreement in May 2007.
Individual clients should bring in 78% of the operator’s revenues in 2008.

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