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phase (with slower client base growth and declining ARPU levels) petition is getting tougher between the 4 existent mobile operators ? Voice transmission services still dominate the market, although there is as clear trend towards bundled product packages wih increase value added ? 20xx will likely mark the entrance of 3G technology in the market Inter and data transmission ? The last period saw a clear consolidation trend following a significant Mamp。 excluding internal tele services on own infrastructure of Teletrans and Teleunicatii CFR 4 Romanian Telemunication market Source: MCTI, ANRC, OTE, ITU, Roland Berger analysis The fixed telemunication infrastructure has developed constantly over the last years 3 . 8 54 . 0 64 . 1 94 . 3 34 . 4 020xx 20xx 20xx 20xx 20xxENote: E = Estimate Development of the number of fixed telephone lines [m] and peration rate [%], 20xx – 20xx 1 9 . 3 %1 7 . 2 %1 9 . 9 %2 0 . 2 %1 8 . 1 %CAGR = % 5 Romanian Telemunication market After a significant drop in 20xx the fixed telephony market is expected to slightly grow in 20xx mainly due to increased consumption Evolution of fixed telephony market1) , 20xx – 20xx [EUR m] Comments 20xx 20xx 20xx 20xx 2 0 0 4 E868 903 921 825 860 ? The 20xx drop of the market was mainly due to lower tariffs in real terms as pared to 20xx, as well as shrinking interconnection and fixed – to – mobile tariffs ? Moreover new players emerging after the opening up of the fixed line market led to decreases in tariffs for international calls and subsequently long – distance calls ? In spite of the 20xx soar in tariffs for local calls, Romtele is likely to decrease these tariffs once petition makes way in the local calls segment as well Notes: 1) Including international private leased circuits E = Estimate Source: ANRC, Roland Berger estimates and analysis 6 Romanian Telemunication market New entrants in the fixed line tele market Astral ? Integrated munications services supplier, being one of the largest CaTV operators and Inter service providers while as of the end of 20xx it launched fixed telephony services as well under the brand Telefix ? At the end of 20xx it had a portfolio of 670,000 CaTV subscribers and 12,000 corporate clients for broadband Inter services, whereas it aims at reach