| 20th December 2004 - Vodafone, the largest operator
of multiple, multi-national wireless networks in the world,
faces tough challenges to protect its turf, reports In-Stat/MDR
(http://www.instat.com). Vodafone faces the twin tasks
of extracting greater and greater efficiencies in the
mostly mature markets in which it operates, while at the
same time fending off competitors who are employing many
of the same techniques that brought Vodafone to the forefront
in the first place.
What is not yet obvious, but what will become apparent
over the next two to three years, is what Vodafone is
prepared to do to protect its position from encroachment
by these challengers. Vodafone offers services to more
than 139 million customers in 26 different countries
around the world. The company has reached this position
through a process of skillful acquisitions of networks
in different countries, and strong management skills
and operational techniques that have allowed it to build
out wireless networks that are highly competitive.
A recent report by the high-tech market research firm
also found the following:
- The cost of Vodafone's growth through acquisition
is estimated to top $270 billion (225 billion Euros)
over the last five years.
- Vodafone has an 18 to 24 month window in which it
can still enter Latin American markets and use its
deep bank accounts and purchasing power to build out
modern networks to compete with other operators there.
- Perhaps the company's greatest weakness is its exposure
to maturing markets, where commoditization of wireless
services is a growing trend that will grow over time,
particularly in Europe.
Back
to News Reports
|
