The internet operator Free is the only answer to the bidding of the State to acquire the fourth mobile license on the market by the state. Several other contenders, including the Bolloré Group, the cable operator Numericable, passed hand.
For Free, the stakes are high. Its initial market, the internet access becomes mature. The madness of growth in recent years to calm down. Gross margin in this market is considerable. Second in market share, behind Orange (France Telecom), Free must find new sources of growth. This is in connection with the fiber optic part of its subscribers to make them enjoy the services of high-speed internet and inflate their average basket.
36.15 Gross Margin
After making a fortune in the business of Minitel, Xavier Niel became the thorn in oligopolies. His next challenge will be to place on the crowded mobile phone market. Orange, SFR and Bouygues share a very lucrative market: investments needed to install networks are amortized and consumers are increasingly dependent mobilo. Same number portability, the passage from one to the other operators, MVNOs, operators using these virtual networks of incumbents and rising to 4% market share, or the falling rate of intermediation, the cost operators charge when communicating from one of their subscribers to another network, do not worry beyond measure.
Bouygues, a lobbying concrete
Admission Free by cons yes. For the reputation and the facts speak for the new entrant. On the internet, it was he who was able to focus the market around its offer price of 29.90 euros base. Tomorrow, we can imagine that it seeks to capitalize on its reservoir Internet customers to offer them quadruple-play offers internet, fixed and mobile telephone and television. And especially as the market is e ncore carrier and for a long time . Uses of mobiles multiplien t (smartphone, allow payment instead of credit card, wish to receive the TV channels ...)
Once it was clear that a fourth operator would enter the French market, the cartel of Three ( The TSF, as they are nicknamed, Everything But Free ) tried everything to delay the application. This section of the Weekly Challenges returns on this story.
The various complaints from one or the other, especially by Bouygues also have delayed the arrival of two years. It is always taken it to. Present at Fouquet's on the night of the presidential election, Martin Bouygues has managed to stand Nicolas Sarkozy last September: "" I am skeptical and reserved on the choice of a fourth operator. The lowest price is not necessarily the best. You should see the quality of the applicants. "Said the president during a meeting with parliamentarians from his majority. This has led a lot of concern here and there , therefore unfounded.
Ich bin your lobbyist
For its part, Free has not been outdone. It is the firm Boury and associates (which will also counsel SFR and Bouygues on other issues) what revenue the task to convince parliamentarians to play the game of the opening of the mobile market in France, also strongly demanded by the European Union on behalf of the competition. This operator has been brought to its Board of Directors Virginie Calmels, director of Endemol. In the city, Virginie Calmels is the companion of François-David Cravenne advisor Estrosi, Minister of Telecom and more industry, handling the case of the fourth license. Free CEO Maxime Lombardini he was responsible for bringing the good word, good evangelist.
Although Xavier Niel hesitates him either to wet his shirt.
In an interview with the weekly Le Poin t in September 2008, Xavier Niel promised to halve the mobile bill of French. It has long been known, promises only bind those who listen. The CEO Illiad will he speak? We'll know in a year.
Bonus gift. Crétin.fr Special