2015 Q4
Transcription
2015 Q4
ELECTRONIC COMMUNICATIONS MARKET IN TURKEY MARKET DATA (2015 Q4)* * In the event of any discrepancy, the original report in Turkish shall prevail. AGENDA Chairman’s Note Executive Summary Market Overview Consumer Complaints Market Data Fixed Broadband Internet Mobile Other Services 2 CHAIRMAN’S NOTE Information contributes to individuals’, institutions’ and countries’ technical, economic and social development. “Turkish Electronic Communications Market Quarterly Data Report" which is prepared based on the data obtained from operators, contains important information for consumers, operators, NGOs; and individuals or institutions about the situation of the electronic communications market in Turkey. This Quarterly Report provides information about the fourth quarter of 2015, gives comparative information with previous periods and differently from previous Quarterly Data Reports of 2015, includes the comparison of the years 2014 and 2015. Comparing not only the fourth quarter but also the whole year of 2015, it is observed that there are important developments in the sector. Regarding broadband internet services, there are 9.5 million fixed and 39.1 million mobile broadband subscribers. That means total broadband subscribers reached to 48.6 million and the number of internet subscribers increased by 18% last year. The highest increase is seen in fiber-to-the-home subscriptions with 36%. As broadband services became widespread, data revenues have become a significant portion of the revenues of the operators. In this context, the share of revenues from data services in total mobile revenues rose from 25% to 33.8% in last year. In terms of fiber infrastructure, by the end of the year 2014 fiber length was 244,847 km and at the end of the year 2015 it increased by 10% and reached to 268,120 km. Compared to previous quarter, fiber length has increased by 2.6%. On the other hand, in the context of protecting consumer rights and interests which constitutes a basic reason for the existence of our Authority, we continue to share our activities aimed at protecting consumers transparently. Consumer complaints data in the report shows us that in terms of “total number of complaints” mobile services take the lead while in terms of “complaints per one million subscribers” ISPs take the lead. For decreasing number of consumer complaints necessary steps are taken by the Authority to eliminate consumer complaints and to increase consumer satisfaction. At this point, I would like to share one of the most recent studies as an example. After getting more complaints about fair usage policy in broadband internet services, namely lowering access speed after exceeding a certain traffic quota we have initiated a study in order to improve data download speeds of fixed and mobile internet services after fair usage quota and to increase the predictability and transparency of services for consumers. In this context, we plan to finalize this study in the scope of “2016 Work Plan” which has been published on our Authority’s website. Thanks to the auction held on 26th August 2015 to authorize IMT Services and Infrastructures, total investment reached the highest value in the fourth quarter of 2015. Thus, mobile network operators’ total annual investments had increased by 378% to 14.7 billion ₺ in 2015. Considering all operators in the I kindly present this Report, which I expect you will find it useful, containing the electronic communications market, total investments had exceeded 17 billion ₺ quantitative development of the Turkish electronic communications sector in the fourth quarter and whole year of 2015. I hope that the year 2016 and forthcoming by 205% increase. Net sales of operators in Turkish electronic communications sector increased by years to be more productive for both our sector and our country. 18% last year and exceeded 39 billion ₺. As of the end of fourth quarter, together with 11.5 million fixed subscribers, there are more than 73.6 million mobile subscribers which correspond to 93.5% mobile penetration. The total population is 66 million excluding 0-9 age range, at the end of 2015 according to TUIK data, and number of M2M subscribers increased from 2.5 million in 2014 to 3.2 million by the end of 2015, which implies that increases in mobile subscriptions will be particularly depending on the change in number of M2M connections. Yours sincerely 3 Dr. Ömer Fatih SAYAN President of the Authority Chairman of the Board EXECUTıVE SUMMARY (MARKET OVERVıEW) There are 686 operators providing service within a total of 1,088 authorizations as of March 2nd, 2016. Total net sales of Türk Telekom and mobile network operators approximately worth 8.2 billion ₺, while other operators’ total net sales approximately worth 2.2 billion ₺. Total investments of Türk Telekom and mobile network operators is around 13.1 billion ₺’s. Total investment of other operators has been realized as 507.9 million ₺s in the fourth quarter of 2015. Mobile traffic volume is 56.9 billion minutes and fixed traffic volume is 2.7 billion minutes in the fourth quarter of 2015. 4 EXECUTıVE SUMMARY (FıXED MARKET) There are approximately 11.5 million fixed telephony subscribers and penetration rate is 14.6%. However, considering the fact that average household size is around 3.60 in Turkey, we may assume fixed telephony services reach to a significant proportion of population. Number of Carrier Pre-Selection (CPS) users is 180,462, while the number of users having call-by-call carrier selection services is 61,326. Percentage of PSTN revenues on total revenues of Türk Telekom is 31.6%, while the proportion of access revenues is around 47.4%. “On-net traffic/total traffic” ratio for Türk Telekom is 65.3%. On the other hand; proportion of traffic to mobile networks is 27.6% of total traffic. 5 EXECUTıVE SUMMARY (FıXED MARKET) Market share of alternative operators for local calls is 15.7%, while Türk Telekom has a market share of 84.3%. Market share of alternative operators for national calls is 42.2%, while Türk Telekom has a market share of 57.8%. Market share of alternative operators for calls to mobile networks is 45%, while Türk Telekom has a market share of 55%. Market share of alternative operators for international call origination is 31.6%, while Türk Telekom has a market share of 68.4%. Market share of alternative operators for international calls terminated on fixed network is 48.6%, while Türk Telekom has a market share of 51.4%. 6 EXECUTıVE SUMMARY (FıXED MARKET) Market share of alternative operators for international calls terminated on mobile networks is 75.4%, while Türk Telekom has a market share of 24.6%. Market share of alternative operators for call origination from fixed network is 31.1% (share in total traffic), while Türk Telekom has a market share of 68.9%. Germany is the most frequently communicated country via fixed network (outgoing and incoming). Fixed Minutes of Usage (MoU) is 139. Türk Telekom’s ARPU is 23.6 ₺. 7 EXECUTıVE SUMMARY (BROADBAND ıNTERNET) The number of broadband subscribers, which was 6 million in 2008, is around 48.6 million(*) Number of internet subscribers in Turkey increased by 3.9% as compared to the previous quarter thanks to the increase in number of mobile and fibre internet subscribers. Annual growth rate of total number of internet subscribers has reached to 17.8%. Number of xDSL subscribers in the fourth quarter is over 7.1 million. Number of mobile broadband subscribers (computer and mobile handset) is around 39.1 million. (*) Mobile broadband ratio given here is updated. Currently, it includes the subscribers who have used packages less than one month period, who have used packages longer than one month period and who have accessed internet without any packages. Previously, it was just consisted of the subscribers who had packages longer than one month period. 8 EXECUTıVE SUMMARY (BROADBAND ıNTERNET) Number of cable internet subscribers reached to 629,064. Nearly 66.4% of fixed broadband subscribers in Turkey prefer offers providing 10-30 Mbps download speeds. 81.2% of users connecting to mobile internet via computer have a data usage of 100 Mb and above. Almost 15.6% of subscribers are within the 0-50 Mb interval. 9 EXECUTıVE SUMMARY (MOBıLE MARKET) There are around 73.6 million mobile subscribers corresponding to 93.5% penetration rate. Mobile penetration rate exceeds 100% when 0-9 year’s old population are excluded. Number of 3G subscribers in the fourth quarter is over 64 million. Turkcell has 46.2%, Vodafone has 30.4% and Avea has 23.4% market share according to the number of subscribers. Nearly 51.8% of total mobile subscribers are pre-paid users. Almost 10.3% of total mobile subscribers are corporate subscribers while the rest are individuals. Churn rates are 3.6% for Turkcell, 2.9% for Vodafone and 2.8% for Avea. 10 EXECUTıVE SUMMARY (MOBıLE MARKET) As of February 9th, 2016 total number of ported numbers are over 90.6 million(cumulative). M2M subscribers reached almost 3.2 million in the fourth quarter of 2015. Germany is the most frequently communicated country via mobile networks (outgoing and incoming). Total number of SMS is around 24.5 billion and number of MMS is 17.5 million. With respect to revenues, market share of Turkcell is 42.2% while market shares of Vodafone and Avea are 36.8% and 21.0% respectively. 11 EXECUTıVE SUMMARY (MOBıLE MARKET) Voice revenues make up 58.4% of Turkcell’s total revenues, 43.3% of Vodafone’s and 44.6% of Avea’s. SMS+MMS revenues make up 5.8% of Turkcell’s revenue and corresponding figures are 8.7% for Avea and 10.0% for Vodafone. Data revenues make up 43.2% for Vodafone, 42.3% for Avea and 29.4% for Turkcell. ARPU is 24.7 ₺ for Turkcell, 25.2 ₺ for Vodafone and 23.5 ₺ for Avea. As of December 2015, Turkcell’s MoU is 325, Vodafone’s MoU is 453 and Avea’s MoU is 501. Overall MoU rate for Turkey is 399 minutes for 2015 Q4. 12 EXECUTıVE SUMMARY (OTHER OPERATORS) Alternative operators have fiber length of 56,592 km, while Türk Telekom has 211,528 km of fiber infrastructure. Nearly 124,349 km of this infrastructure is used for backbone and the remaining is used for access. Infrastructure operators’ total revenue is around 265.9 million ₺. TURKSAT, as an operator of cable broadcasting services, has 1,160,985 cable TV subscribers and has 798,476 digital cable TV subscribers. Number of subscribers having GMPCS mobile telephony services is 7,829 and corresponding revenue is approximately 4.1 million ₺. 13 EXECUTıVE SUMMARY (OTHER OPERATORS) Satellite communication operators provide services such as international internet connections, video conference and point-topoint international satellite data circuits, to 10,441 subscribers. Total revenue generated from these services is approximately 86.3 million ₺. Total number of calls for directory services is 6,130,254 and the corresponding call time is 10,093,766 minutes. Total revenue of DQ operators is approximately 20.1 million ₺. Number of subscribers having PMR/PAMR services is 2,799, number of users is 97,984 and the total revenue is around 5.1 million ₺. 14 MARKET OVERVıEW Number of Authorizations Based on Authorization Type (As of March 2nd, 2016) Authorization Type Services Number of Authorizations Authorization Agreement Satellite and Cable TV Services 1 GSM Services 3 IMT-2000/UMTS Services 3 Several Telecommunication Services 1 Satellite Telecommunication Services 44 Satellite Platform Services 19 Infrastructure Operation Services 176 Internet Service Providers 423 Fixed Telephony Services 0 Cable TV Services 23 GMPCS Mobile Telephony Services 9 GSM 1800 Services on Air Vehicles 3 Mobile Virtual Network Operator Services 49 IMT Services 3 GMPCS Mobile Telephony Services 3 PMR/PAMR Services 82 Infrastructure Operation Services 9 Fixed Telephony Services 188 Directory Enquiry Services 13 Mobile Virtual Network Operator Services 36 Concession Agreement Authorized by Notification Authorized by Right of Use TOTAL 1,088 15 MARKET OVERVıEW Net Sales of Türk Telekom and Mobile Operators* , ₺ 2011 2012 2013 2014 2015 Türk Telekom 7,374,599,666 7,253,226,575 7,237,240,887 7,299,814,772 Turkcell 8,332,040,983 8,828,290,710 9,123,141,855 9,569,192,094 10,060,441,508 Vodafone 3,741,607,933 4,380,371,258 4,773,658,515 5,153,420,107 8,427,327,284 Avea 2,906,743,653 3,354,467,547 3,808,180,931 4,269,465,539 4,966,653,570 TOTAL 22,354,992,235 23,816,356,090 24,942,222,187 7,935,891,670 26,291,892,512 31,390,314,032 *2011-2014 data Based on the income statements of operators notified to ICTA, Vodafone updated its 2013 net sales data in 2014 Q4. Net Profit of Türk Telekom and Mobile Operators* , ₺ 2011 2012 2013 2014 2015 Türk Telekom 2,468,971,871 2,995,771,673 1,277,576,133 2,483,731,826 1,670,826,988 Turkcell 2,262,195,067 2,421,010,843 2,365,193,056 2,300,631,352 2,397,983,868 Vodafone Avea -696,907,047 -91,669,117 40,981,479 53,634,967 -69,513,352 -1,054,556,808 -752,521,475 -726,954,492 -793,497,469 -599,629,916 * Based on the income statements of operators notified to ICTA. 16 MARKET OVERVıEW Net Sales of Türk Telekom and Mobile Operators*, ₺ 2014-4 2015-1 2015-2 2015-3 2015-4 Türk Telekom 2,023,920,769 1,862,988,411 1,951,343,398 2,013,618,731 2,107,941,130 Turkcell 2,393,476,792 2,350,445,902 2,459,377,063 2,675,461,611 2,575,156,931 Vodafone 1,818,184,199 1,911,129,199 2,041,958,118 2,225,064,392 2,249,175,575 Avea 1,155,571,836 1,166,441,198 1,219,400,904 1,298,685,471 1,282,125,997 TOTAL 7,391,153,596 7,291,004,710 7,672,079,484 8,212,830,205 8,214,399,633 * Based on the quarterly notifications of operators to ICTA. Net Sales of Other Operators, ₺ Operator Type Internet Service Providers 2014-4 2015-1 2015-2 2015-3 2015-4 1,213,093,325 1,229,591,322 1,172,755,954 1,244,261,171 1,369,560,341 Fixed Telephony 280,764,744 290,659,607 312,922,030 356,565,792 323,165,266 Infrastructure 181,528,123 177,774,738 183,318,996 287,431,702 265,878,742 Satellite Telecommunication 89,046,099 85,567,472 91,223,658 95,412,128 86,335,030 Directory Information 18,126,410 17,982,552 18,334,603 18,625,267 20,046,004 Cable TV 117,392,317 125,188,262 132,264,966 130,944,904 125,414,280 GMPCS 5,002,309 2,163,121 2,085,250 1,908,760 4,053,900 PMR/PMAR 3,960,873 5,398,125 3,780,333 3,817,140 5,063,303 TOTAL 1,908,914,200 1,934,325,199 1,916,685,790 •Based on the quarterly notifications of operators to ICTA. 2,138,966864 2,199,516,866 17 MARKET OVERVıEW Annual Investments of Türk Telekom and Mobile Operators*, ₺ 2011 Türk Telekom 2012 2013 2014 2015 1,371,661,333 1,430,588,567 1,372,029,459 1,012,532,009 1,219,033,242 Turkcell 894,292,037 947,118,055 1,057,753,655 1,360,000,236 6,772,281,657 Vodafone 799,790,150 588,602,244 621,412,373 942,973,136 3,853,415,613 Avea 799,871,481 756,699,109 705,706,896 782,085,603 4,112,035,110 3,865,615,001 3,723,007,975 3,756,902,383 4,097,590,985 15,956,765,623 TOTAL *Based on the income statements of operators notified to ICTA. Quarterly Investments of Türk Telekom and Mobile Operators, ₺ 2014-4 2015-1 2015-2 2015-3 2015-4 Türk Telekom 584,879,742 75,557,021 194,667,540 214,079,059 734,729,622 Turkcell 592,084,444 221,053,493 428,714,634 277,381,660 5,845,131,870 Vodafone 233,457,454 368,452,571 201,143,309 262,192,992 3,021,626,741 Avea 380,586,389 158,318,364 192,428,722 233,125,848 3,528,162,177 1,791,008,029 823,381,449 1,016,954,205 TOTAL 986,779,559 13,129,650,410 Quarterly Investment of Other Operators, ₺ Other Operators 18 2014-4 2015-1 2015-2 2015-3 540,072,409 163,014,182 179,944,099 467,398,743 2015-4 507,851,338 MARKET OVERVıEW Annual Voice Traffic Volume, Billion Minutes 250 189,2 200 150 168,9 149,5 132,2 19,4 202,6 219,1 14,0 16,7 21,8 23,6 23,9 100 50 233,9 11,3 125,8 108,2 147,1 169,8 185,9 2012 2013 205,2 222,6 0 2009 2010 2011 Mobile Fixed 2014 2015 Total Quarterly Voice Traffic Volume, Billion Minutes 60 55 50 45 40 35 30 25 20 15 10 5 0 47,2 52,2 4,4 52,0 4,0 51,1 4,0 3,8 47,8 48,0 47,2 47,2 51,0 55,8 3,7 56,4 3,3 59,3 55,9 55,3 2,9 3,2 3,1 59,6 2,6 2,7 59,7 52,1 53,1 52,7 56,4 57,1 56,9 4,3 42,9 52,2 19 2013-1 2013-2 2013-3 2013-4 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 Mobile Fixed Total MARKET OVERVıEW Total Traffic Distribution, Million Minutes 2015-4 54.172 1.689 1.017 2.774 2015-3 54.230 1.603 972 2015-2 53.679 1.875 1.024 2.725 2015-1 49.449 2.119 1.017 2.748 2014-4 49.927 2.173 1.046 2.802 2014-3 50.277 2.1861.105 2.829 2014-2 49.493 2.503 1.198 2.610 2014-1 44.652 2.633 1.128 2.587 2013-4 44.559 2.800 1.171 2.610 2013-3 45.392 2.735 1.247 2.636 2013-2 45.199 2013-1 2.7271.347 10% Total Traffic Distribution, % 2015-4 2015-3 2015-2 2015-1 2014-4 2014-3 2014-2 2014-1 2013-4 2013-3 2013-2 2013-1 20% 30% Mobile to Mobile 40% 50% Fixed to Fixed 60% 70% Fixed to Other 90,8 90,9 4,7 2,71,6 90,5 4,6 3,2 1,7 89,7 5,0 3,81,5 5,0 3,9 1,9 89,1 5,0 3,9 2,0 88,7 4,7 4,5 2,1 87,6 5,1 5,2 2,2 87,1 5,1 5,5 2,3 87,3 5,1 5,3 2,4 87,2 4,9 5,3 2,6 85,7 10% 20% Mobile to Mobile 30% 40% Mobile to Other 80% 90% 100% Mobile to Other 4,7 2,81,7 89,2 0% 2.565 3.303 1.025 2.428 40.484 0% 2.827 5,1 50% 60% Fixed to Fixed 70% 80% Fixed to Other 90% 7,0 2,2 100% 20 CONSUMER COMPLAıNTS # and % of Consumer Complaints for Each Service, 2015 Q4 Fixed Telephony Services ; 2,200; 9% Satellite Platform Services ; 2,283; 9% Cable TV Services ; 106; 0% Mobile Services ; 11,165; 45% ISP Services ; 9,076; 37% # of Consumer Complaints per «1 million Subscribers» 1.000 900 800 720,6 700 600 552,1 500 400 300 200 117,0 100 98,2 0 50,6 2014-1 950,4 530,8 191,4 151,6 91,3 2014-2 ISP 2014-3 Satellite Platform 2014-4 Mobile 2015-1 2015-2 Fixed Telephony 2015-3 2015-4 Cable TV 21 FıXED MARKET Fixed-Line Subscribers and Penetration Rate 28 22,8 16 22,3 24 20,6 18,3 14 17,7 16,3 15,9 12 14,6 (%) 11,49 4 11,70 12,20 12 12,53 13,55 13,86 6 15,21 16,20 8 15,1 16 16,53 Millions 10 20 15,4 11,94 18 8 4 2 0 0 2009 2010 2011 2012 2013 Number of Subscribers 2014 2015-1 2015-2 2015-3 2015-4 Penetration 22 FıXED MARKET Number of Users of FTS Providers, 2015 Q4 Method Carrier Pre-selection Call-by-call Carrier Selection 2014-4 2015-1 2015-2 2015-3 2015-4 178,737 150,903 151,565 161,503 180,462 77,018 79,204 77,589 69,289 61,326 Market Shares of FTS Providers Based on # of Users, 2015 Q4 Alternative Operators Market Share (%) TTNet 51.4 Superonline 16.1 Turknet 9.9 İş Net 5.9 Vodafone Net 5.1 Millenicom 4.3 Netgsm 2.2 TTM Telekom 1.9 Others 3.2 23 FıXED MARKET Breakdown of Annual Fixed Revenues of Türk Telekom, % 2015 34,8 2014 47,9 39,6 2013 42,1 47,7 2012 3,5 4,2 9,6 3,8 4,8 9,8 4,3 4,8 38,5 56,6 31,6 4,7 5,3 3,9 2,7 2011 60,6 27,0 6,4 2010 60,5 27,1 6,9 3,4 2,1 2009 61,4 24,3 0% 10% 20% 30% PSTN 40% Access 50% 60% Leased Lines 70% Interconnection 7,6 80% 90% 3,7 2,2 3,3 3,5 100% Others Breakdown of Quarterly Fixed Revenues of Türk Telekom, % 2015-4 31,6 2015-3 47,4 33,9 2015-2 48,1 35,7 2015-1 4,5 9,9 3,6 4,1 41,3 7,5 6,6 4,3 3,8 42,3 38,5 14,0 3,5 4,4 47,0 36,7 2014-3 3,5 49,0 38,4 2014-4 3,3 3,7 13,3 3,7 4,8 11,7 2014-2 41,1 43,2 3,8 5,3 6,6 2014-1 42,3 41,6 4,0 4,9 7,3 90% 100% 0% 10% 20% PSTN 30% Access 40% 50% Leased Lines 60% 70% Interconnection 80% Others 24 FıXED MARKET Breakdown of Türk Telekom’s Traffic, % 2015-4 65,3 2,3 27,6 4,8 2015-3 64,7 2,5 28,2 4,5 2015-2 67,5 2015-1 2,4 69,8 2014-4 2,2 71,4 2014-3 2,0 70,0 2014-2 2,1 72,4 2014-1 20% 23,7 4,3 22,7 3,9 24,5 3,4 1,8 40% On-Net 4,2 1,9 74,6 0% 25,9 International 60% 22,6 3,0 20,7 2,9 80% Mobile 100% FTS Breakdown of Türk Telekom’s Traffic, Million Minutes 2014-4 2015-1 2015-2 2015-3 2015-4 On-net 1,645 1,501 1,385 1,165 1,229 International 46 47 49 46 44 Mobile 523 509 531 507 519 FTS 89 92 87 82 90 TOTAL 2,303 2,150 2,052 1,800 1,881 25 FıXED MARKET Market Shares Based on Voice Revenues*, % 100% 90% 12 14 15 15 14 15 17 16 88 86 85 85 86 85 83 84 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 80% 70% 60% 50% 40% 30% 20% 10% 0% TT FTS (*) Calculated from minute-based voice revenues of TT and net sales of FTS providers. Call Origination Market Shares from Fixed Networks, % 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 32 68 42 41 45 44 44 48 46 58 59 55 56 56 52 54 26 2014-1 2014-2 2014-3 2014-4 TT 2015-1 FTS 2015-2 2015-3 2015-4 FıXED MARKET FTS and TT Comparison for Local Calls, % 100 86,4 80 85,6 85,6 84,8 85,5 85,1 85,0 84,3 (%) 60 40 20 2014-1 14,4 15,2 14,5 14,9 15,0 15,7 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 TT FTS 14,4 13,6 0 2014-2 FTS and TT Comparison for National Calls, % 80 70,0 71,3 60 67,2 63,7 (%) 57,7 40 20 42,3 30,0 28,7 32,8 58,4 56,4 57,8 41,6 43,6 42,2 * Market Shares are based on traffic volume. 36,3 27 0 2014-1 2014-2 2014-3 2014-4 TT 2015-1 STH 2015-2 2015-3 2015-4 FıXED MARKET FTS and TT Comparison for F2M Calls, % 80 60 (%) * Market Shares are based on traffic volume. 40 56,7 56,7 43,3 43,3 58,7 41,3 54,6 54,5 56,4 56,4 55,0 45,0 45,4 45,5 43,6 43,6 2014-4 2015-1 2015-2 2015-3 20 0 2014-1 2014-2 2014-3 TT FTS and TT Comparison for International Calls, % 80 (%) 60 40 52,1 47,9 55,2 44,8 59,3 40,7 61,6 65,4 68,2 43,9 20 34,6 31,8 31,6 0 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 TT FTS FTS Most Frequently Communicated Countries via Fixed Networks 68,4 56,1 38,4 2015-4 Highest Rate of Traffic Sent to Germany Highest Rate of Traffic Received From Germany Pakistan France UK UK KKTC Greece Bulgaria The Netherlands 28 FıXED MARKET FTS and TT Comparison for International Incoming Calls Terminated on Fixed Networks*, % 80 70 66,5 64,0 62,3 56,2 60 58,5 57,5 61,9 51,4 (%) 50 40 43,8 37,7 36,0 33,5 2014-1 2014-2 30 48,6 42,5 41,5 38,1 20 10 0 2014-3 2014-4 2015-1 TT 2015-2 2015-3 2015-4 FTS FTS and TT Comparison for International Incoming Calls Terminated on Mobile Networks, % 100 (%) 80 60 62,6 67,1 66,7 67,7 73,1 76,7 76,7 75,4 * Market Shares are based on traffic volume. 40 37,4 20 32,9 33,3 32,3 26,9 23,3 23,3 24,6 29 0 2014-1 2014-2 2014-3 2014-4 TT 2015-1 2015-2 2015-3 2015-4 FTS (*)Due to an update by alternative operators, 2014 data has been re-calculated and differs from the data published in previous quarters. FıXED MARKET Fixed MoU, Minutes 200 150 153 150 147 146 137 145 134 139 2015-3 2015-4 100 50 2014-1 2014-2 23,5 23,6 0 2014-3 2014-4 2015-1 2015-2 ARPU, ₺ 25 20 23,3 23,2 23,1 23,1 22,7 10 22,6 15 5 30 0 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 BROADBAND ıNTERNET Number of Broadband Internet Subscribers* 48,6 50 45 41,2 9,5 40 32,6 35 27,6 Millions 30 8,4 22,3 25 20 14,3 7,9 39,1 7,6 32,4 15 10 5 8,9 8,8 0 2008 19,7 14,7 6,4 6,0 24,2 7,1 6,0 7,2 2,5 2009 2010 Fixed 2011 2012 2013 Mobile 2014 2015 Total 31 •(*) Fixed, mobile, cable modem, fiber etc. all means of broadband access are included BROADBAND ıNTERNET Breakdown of Number of Internet Subscriptions Quarterly Growth Rate Annual Growth Rate (2015Q3 – 2015 Q4) (2014 Q4 – 2015 Q4) 2014-4 2015-3 2015-4 xDSL 6,799,100 6,946,553 7,157,200 3.0% 5.3% Mobile Internet from Computer 1,354,746 1,662,797 1,597,606 -3.9% 17.9% Mobile Internet from Mobile Handset 31,005,915 35,876,101 37,469,948 4.4% 20.8% Cable Internet 558,456 596,056 629,064 5.5% 12.6% FTTH 472,424 589,321 641,776 8.9% 35.8% FTTB 984,973 1,013,921 1,030,852 1.7% 4.7% Other 97,326 92,385 90,845 -1.7% -6.7% TOTAL 41,272,940 46,777,134 48,617,291 3.9% 17.8% 32 BROADBAND ıNTERNET Data on 3G Subscribers 2014-4 # of 3G Subscribers Mobile Internet from Computer Mobile Internet from Mobile Handset 2015-1 2015-3 2015-4 58,329,492 59,422,663 61,076,640 63,066,580 64,256,311 1,354,746 1,543,816 1,646,892* 1,662,797 1,597,606 32,391,046 34,232,558* 35,876,101 37,469,948 156,669 165,366 31,005,915 96,544 Mobil Internet Usage, Tbyte 2015-2 107,970 126,027 (*) 2015-Q2 data has been updated due to correction from operators Post-Paid and Pre-Paid Mobile Broadband Internet Subscriptions, 2015 Q4, % 100% 75% 51,5 46,3 49,9 48,5 53,7 50,1 50% 25% 0% Avea Vodafone Pre-Paid Post-Paid Turkcell 33 BROADBAND ıNTERNET ISP Market Shares Based on # of Subscribers, 2015 Q4* Operator Breakdown of Other Means of Internet (by subscriber) 2014-4 2015-3 2015-4 Dial Up 45,918 45,379 45,143 ISDN BA/PA 15,381 14,861 14,854 Satellite Communications 10,870 12,009 10,441 Metro Ethernet 12,227 12,635 12,159 PLC, BPL 3,309 686 369 Frame Relay 49 35 37 ATM 17 14 13 Other 9,555 6,766 7,829 TOTAL 97,326 92,385 90,845 % TTNet 71.8 Superonline 17.6 Doğan TV Digital 3.9 Vodafone Net 3.1 Turknet 2.0 Millenicom 1.1 Others 0.5 (*) xDSL, Fiber, Metro, FR, PLC, ATM, etc. included cable and mobile connections are excluded. 34 BROADBAND ıNTERNET Distribution of Fixed Broadband Subscribers according to Technology and Operator, % 2015-4 59,3 16,0 6,6 17,6 0,5 0,5 2015-3 60,8 14,8 6,5 17,4 2015-2 61,7 14,2 6,4 17,2 2015-1 62,7 13,4 6,4 16,9 0,5 2014-4 63,8 6,3 16,4 0,6 2014-3 65,0 5,9 16,0 0,7 2014-2 66,1 11,8 5,8 15,6 0,7 2014-1 66,9 11,5 5,8 15,0 0,8 2013-4 68,1 14,2 0,8 12,8 12,4 11,1 2013-3 70,5 2013-2 71,5 2013-1 72,7 2012-4 73,6 2012-3 74,9 2012-2 10,9 5,9 10,8 10 20 xDSL TTNet 30 40 10,2 9,5 xDSL Other ISPs 60 Cable 70 Fiber 1,0 9,3 1,0 6,4 10,6 50 0,9 10,7 6,3 10,8 78,2 0 11,8 6,1 10,8 76,3 2012-1 5,8 80 0,5 8,2 1,0 7,1 1,1 6,3 6,1 1,0 6,3 4,9 1,0 6,4 90 100 Other 35 BROADBAND ıNTERNET Mobile Internet Usage Speeds from Computer, 2015 Q4, % 5,0 15,6 15,9 3,2 5,9 17,7 36,7 Connection Speeds for Fixed Broadband, 2015 Q4 %4,3 0-50 MB 50-100 MB 100-250 MB 1-4 GB 4-8 GB >8 GB 250 MB-1 GB Mobile Internet Usage Speeds from Mobile Handsets, 2015 Q4, % 1,7 %23,5 7,3 %0,5 %2,8 %2,2 %0,1 16,5 %66,4 1,2 2,1 2,2 3,2 %0,3 36,0 6,9 22,8 x≤1 Mbps 1 Mbps < x ≤2 Mbps 2 Mbps < x ≤4 Mbps 4 Mbps < x ≤8 Mbps 8 Mbps < x ≤10 Mbps 10 Mbps < x ≤30 Mbps 30 Mbps < x ≤50 Mbps 50 Mbps < x ≤100 Mbps 100Mbps<x 36 0-5 MB 100-250 MB 5-10 MB 250 MB-1 GB 10-25 MB 1-4 GB 25-50 MB 4-8 GB 50-100 MB >8 GB MOBıLE MARKET Number of Mobile Subscribers and Penetration Rate 73.639.261 92,1% 70 86,5% 83,8% 87,4% Millions 60 25,9 50 12,6 11,1 10,2 9,4 33,9 40 30 20,4 13,6 65,8 55,7 60% 42,4 20 10 19,4 31,4 41,8 49,3 58,3 59,4 61,1 63,1 64,3 40% 20% 7,1 0 80% Penetration, % 80 92,5% 92,7% 92,9% 94,3% 93,5% 100% 89,5% 90,9% 0% 2008 2009 2010 2011 2012 2013 2014 2015-1 2015-2 2015-3 2015-4 2G Subscribers 3G Subscribers Mobile Penetration Total Number of Mobile Subscriptions, Million 70,12 70,79 71,91 71,89 72,04 72,17 73,24 73,64 40 34,79 34,64 34,73 34,63 34,26 33,97 34,24 34,01 30 20,03 20,37 20,95 20,92 21,14 21,46 22,01 22,37 15,29 15,78 16,23 16,33 16,64 16,74 16,98 17,26 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 80 70 60 50 20 10 0 Avea Vodafone Turkcell Total 37 MOBıLE MARKET Monthly Churn Rates of Mobile Operators, % 5% 4% 3% 2% 1% 0% Jan-2015 Feb-2015 Mar-2015 Apr-2015 May-015 Jun-2015 Jul-2015 Aug-2015 Sep-2015 Oct-2015 Nov-2015 Dec-2015 Avea 2,6% 2,6% 3,0% 2,8% 2,9% 2,8% 2,7% 2,6% 2,4% 2,6% 2,6% 2,8% Vodafone 3,0% 2,8% 3,2% 3,0% 3,1% 2,7% 2,8% 2,6% 2,4% 2,8% 2,5% 2,9% Turkcell 2,6% 2,5% 2,9% 2,7% 2,9% 2,6% 2,5% 2,3% 2,3% 2,3% 2,2% 3,6% Distribution of Individual and Corporate Mobile Subscribers, % Pre-Paid and Post-Paid Mobile Subscriptions, % 100% 80% 10,3 58,8 57,7 57,1 55,7 54,5 53,4 53,0 51,8 41,2 42,3 42,9 44,3 45,5 46,6 47,0 48,2 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 60% 40% 20% 89,7 Individual Corporate 38 0% Pre-paid Post-paid MOBıLE MARKET Mobile Number Portability, Quarterly 4.000.000 3.500.000 2.651.835 2.903.726 2015-4 3.050.413 2015-2 2015-3 3.268.086 2015-1 1.000.000 3.131.101 1.500.000 2014-4 2.000.000 3.476.395 3.355.104 2.500.000 3.655.772 3.000.000 500.000 2014-3 2014-2 2014-1 0 2015 Q4 Net Gaining Subscriber Numbers, Thousands Net Transferred Number, Thousand 800 698 600 384 400 200 31 0 -200 2014-1 210 272 184 91 21 2014-3 2014-4 2015-1 224 44 40 2015-2 2015-3 159 107 2015-4 -119 -231 -400 -600 2014-2 224 103 -415 -327 -275 -312 -268 -266 39 -579 -800 Avea Vodafone Turkcell MOBıLE MARKET Market Shares according to Number of Subscribers, % 100% 21,8 22,3 22,6 22,7 23,1 23,2 23,2 23,4 28,6 28,8 29,1 29,1 29,3 29,7 30,1 30,4 49,6 48,9 48,3 48,2 47,6 47,1 46,8 46,2 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 80% 60% 40% 20% 0% Avea Vodafone Market Shares according to Traffic Volume, % 25,1 26,7 26,5 27,0 27,5 27,5 27,2 27,8 34,5 33,9 34,2 35,3 35,3 35,5 35,2 35,7 80% 20,2 21,2 21,4 21,5 21,5 21,3 20,9 21,0 33,4 32,6 32,3 33,9 35,2 35,7 35,9 36,8 46,5 46,2 46,3 44,6 43,3 43,0 43,2 42,2 80% 60% 40% 40% 20% Market Shares according to Revenue, % 100% 100% 60% Turkcell 40,5 39,4 39,3 37,7 37,2 37,0 37,6 36,5 0% 20% 40 0% 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 Avea Vodafone Turkcell 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 Turkcell Vodafone Avea MOBıLE MARKET Breakdown of Mobile Traffic, Million Minutes 2015-4 30.159 24.013 2.593 180 2015-3 30.302 23.927 2.616 211 2015-2 30.603 23.075 2015-1 28.587 20.862 2014-4 29.211 20.716 2014-3 30.258 2.538 186 2.564 184 2.602 200 2.605 20.018 225 2014-2 30.708 18.785 2.390 220 2014-1 28.092 16.560 2.388 0% 20% On-Net 40% Other Mobile Network Operators 60% Fixed Networks 80% 199 100% International+DQ Services+Satelite+Others Breakdown of Mobile Traffic, % 2015-4 53,0 42,2 4,6 0,3 2015-3 53,1 41,9 4,6 0,4 2015-2 54,3 40,9 4,5 0,3 2015-1 54,8 40,0 4,9 0,4 2014-4 55,4 39,3 4,9 0,4 4,9 0,4 2014-3 57,0 37,7 2014-2 58,9 36,1 4,6 0,4 2014-1 59,5 35,1 5,1 0,4 0% On-net 20% 40% Other Mobile Network Operators 60% Fixed Networks 80% 100% International+DQ Services+Satelite+Others 41 MOBıLE MARKET Most Frequently Communicated Countries via Mobile Networks, 2015 Q4 Highest Rate of Traffic Sent to Germany Highest Rate of Traffic Received From Germany UK Austria France Switzerland Turkmenistan France Iran Saudi Arabia Breakdown of Mobile Revenue, % 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 6,3% 29,4% 3,5% 4,4% 5,0% 43,2% 42,3% 36,3% 10,0% 8,7% 43,3% 44,6% 51,0% Vodafone Avea Total 5,8% 58,4% Turkcell Voice SMS+MMS Data 7,7% 42 Value Added Services MOBıLE MARKET Mobile SMS and Mobile MMS, Million (*) 40.000 34.452 31.979 30.738 27.153 30.000 25.279 24.500 26.431 24.473 20.000 10.000 30,9 33,5 31,1 25,7 21,4 22,6 21,6 17,5 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 0 SMS MMS Number of SMS & MMS, Million 2014-4 2015-1 2015-2 2015-3 2015-4 Service Avea Turkcell Vodafone SMS 9,280 7,390 10,480 MMS 9.0 11.0 5.7 SMS 8,825 6,730 9,724 MMS 9.1 9.1 3.2 SMS 8,657 6,262 9,581 MMS 10.2 9.1 3.3 SMS 8,940 6,797 10,694 MMS 10.2 8.5 2.9 SMS 8,245 6,103 10,123 MMS 8.0 7.1 2.4 43 (*) The dramatic difference in SMS numbers with respect to quarters before 2014 is due to calculation method. SMS’s with Turkish characters might count more than one SMS at interconnection systems, however they are billed as one. Therefore the calculation source has shifted from interconnection system to billing system starting 2014 Q1 in order to present the most accurate data. MOBıLE MARKET Mobile ARPU, ₺ 25 23,5 25,2 24,7 22,7 23,6 23,6 22,1 22,4 22,5 22,1 22,1 22,8 22,1 22,2 23,3 21,1 21,7 21,7 10 20,2 20,7 20,8 15 23,8 25,3 25,4 20 Avea Vodafone Turkcell 5 0 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 479 501 2015-3 2015-4 MoU values of Mobile Operators, Minutes (*) 600 500 400 450 425 412 484 450 200 442 501 467 485 454 500 465 495 458 390 300 295 477 270 313 311 329 322 337 333 477 499 434 454 437 317 320 310 453 325 (*)Data dedicated mobile subscriptions are deducted from total # and recalculated back to a full year. 100 0 44 Avea Vodafone Turkcell MOBıLE MARKET Pre-Paid Mobile ARPU, ₺ 15 2014-4 2015-1 2015-2 2015-3 15,3 14,3 12,6 15,8 14,8 13,3 2014-3 15,0 13,8 11,0 2014-2 14,0 12,7 11,0 14,7 13,2 12,2 2014-1 14,4 13,0 11,4 13,7 12,6 11,6 5 12,7 11,9 10,7 10 Avea Vodafone Turkcell 0 2015-4 Post-Paid Mobile ARPU, ₺ 45 40 35 30 31,6 38,7 38,0 31,8 38,5 39,1 30,5 36,4 37,2 30,1 35,3 36,7 15 30,8 35,1 37,6 Vodafone 30,6 35,6 38,5 20 30,0 35,4 36,2 Avea 29,2 34,8 36,0 25 10 Turkcell 45 5 0 2014-1 2014-2 2014-3 2014-4 2015-1 2015-2 2015-3 2015-4 OTHER SERVıCES Market Shares of Alternative Network Operators, 2015 Q4 Revenue of Alternative Network Operators Period Revenue, ₺ 2014-4 181,528,123 2015-1 Operators Market Share based on Net Sales (%) Superonline 36.9 177,774,738 Vodafone Net 26.2 2015-2 183,318,996 Kule Hizmetleri 15.1 2015-3 287,431,701 MTCTR Memorex 4.9 2015-4 265,878,742 BT Bilişim 4.3 İş Net 3.8 T-Systems 3.0 AT&T Global 1.5 Turknet 1.4 Mednautilus 1.2 Fiber Optic Networks of Alternative Operators Total Total Access Total Backbone Length Length (km) Length Total Length Owned Total Length Leased 2014-4 40,345 11,831 43,108 9,068 52,176 2015-1* 39,861 12,392 42,769 9,484 52,254 2015-2 41,295 13,435 44,609 10,121 54,730 Equant İstanbul 1.1 2015-3 42,361 13,032 45,007 10,386 55,393 Doğan TV Dijital 0.2 2015-4 43,067 13,525 45,710 10,882 56,592 Others 0.5 (*) 2015-1 Total length data has been updated due to correction from operators 46 OTHER SERVıCES Market Share of Satellite Communication Operators based on # of Subscribers Satellite Communications Services Period # of Subscribers Revenue, ₺ Operator % 2014-4 10,870 89,046,099 EserTelekom 44.1 2015-1 11,048 85,567,472 Superonline 20.7 2015-2 11,050 91,223,658 İş Net 15.5 2015-3 12,009 95,412,128 Türksat 9.5 2015-4 10,441 86,335,030 Others 10.2 Cable Platform Services Period # of Cable TV Subscribers # of Cable Telephony Subscribers # of IPTV Subscribers 2014-4 1,176,126 40,346 349,561 2015-1 1,170,459 37,737 380,159 2015-2 1,159,748 35,523 429,914 2015-3 1,156,133 36,353 471,345 2015-4 1,160,985 34,806 532,971 47 OTHER SERVıCES Digital Platform Services; Number of Domestic Users 2014-4 2015-1 2015-2 2015-3 2015-4 DIGITÜRK 3,032,761 2,931,394 2,891,305 2,944,664 2,869,995 D-SMART 1,730,236 1,737,340 1,734,322 1,724,633 1,701,540 FILBOX 3,125 4,880 7,627 10,418 18,978 TIVIBU - - - 46,410 74,751 48 OTHER SERVıCES Directory Information Services # of Calls Call Duration (Minutes) Total # of Enquiries Revenue, , ₺ 2015-1 8,312,524 13,213,921 16,710,605 17,982,552 2015-2 7,610,163 12,219,577 15,315,949 18,334,603 2015-3 7,208,801 11,604,322 15,380,317 18,625,267 2015-4 6,130,254 10,093,766 13,956,810 20,052,948 Period Market Share of Directory Information Operators based on Number of Calls, 2015 Q4 Operator % Average Call Duration (Min.) BN Telekom (11880 – 11810 -11844) 85 1.5 11818 Rehberlik (11818-11820) 10 2.2 Plus Telekom (11870 – 11890 – 11899) 2.5 2,9 Jan İletişim (11860) 1.1 1.9 Infoline (11824) 0.5 0.9 Callturk (11858) 0.3 2.3 Mega (11881-11883) 0.2 1.9 Rehberlik Hizmetleri Servisi (11819-11850) 0.1 1.3 49 OTHER SERVıCES Market Share of GMPCS Operators Based on # of subscribers, % Operator 2014-4 2015-1 2015-2 2015-3 2015-4 Teknomobil 66.4 66.6 66.3 66.1 70.9 Globalstar 32.2 32.0 32.3 31.7 25.9 Mobilkom 1.4 1.4 1.4 2.2 3.2 PMR/PAMR Services GMPCS Services Period # of Subscribers # of Users Revenue, ₺ Period # of Subscribers Revenue, ₺ 2014-4 2,555 76,955 3,960,873 2014-4 6,230 5,002,309 2015-1 2,653 85,582 5,398,125 2015-1 6,230 2,163,121 2015-2 2,710 89,043 3,780,333 2015-2 6,244 2,085,250 2015-3 2,777 95,981 3,817,140 2015-3 6,338 1,908,760 2015-4 2,799 97,984 5,063,303 2015-4 7,829 4,053,900 50 ELECTRONIC COMMUNICATIONS MARKET IN TURKEY MARKET DATA (2015 Q4)* * In the event of any discrepancy, the original report in Turkish shall prevail.