Despite the popularity of Virtual Operator business models on the Dutch market, the impact of these providers is still relatively small but growing, according to a report from Telecompaper. At the end of September 2006, an estimated 2.69 million customers used a virtual operator to connect to a mobile network, up from 2.51 million at the end of March this year, this represents an increase of 7.3 percent.Market leader debitel tumbled further in terms of market share, while Tele2 Mobiel increased on its position in comparison to June 2006. A number of newcomers continue to do well in the market, including Lebara Mobile and Ortel Mobile. Measured in net connections, other providers that did well in the period are UPC Mobiel, Simyo and Lycamobile.

In September 2006, around 40 mobile Virtual Operators were active on the Dutch market. Since June 2006 a number of new players entered the market (Rabo Mobiel, Ay Yildiz, Lycamobile and IDT Mobile), but the market also witnessed the exit of a few players (Comfour Mobile and easyMobile). Over the next 12 months, Telecompaper expects the number of Virutal Operators to stabilise or slightly decline.

The established VOs still account for the lion’s share of mobile VO connections and represent 72 percent of customers using a VO. However, their share of the total base is declining quickly: their combined market share fell from 79 percent in March 2006, down from 88 percent at the end of September 2005. The established players include debitel, Tele2 Mobiel, AH Mobiel, Intercity Mobile Communications, Dekatel Telecom and Galaxy Business Networks. By taking over the mobile customer base of LTO Commerce in February 2006, Galaxy Business Networks performed better than other established players in advancing its market share. Debitel, however, saw a large part of the decline by losing 100,000 customers during the period under review.

Wireless Mobile Telecom