The year that is drawing to a close has been the worst in a long time for Spanish telecommunication companies. We have to look back seven years to find poor earnings like those registered in the third quarter of 2011.
The data that the Telecommunications Market Commission (CMT following the Spanish abbreviation), an independent Public Body that regulates national electronic communications and audiovisual services markets, unveiled is worrisome because it shows that Spanish telecoms have upcoming investments that cannot be delayed: the launch of new broadband mobile and landline networks.
As if that were not enough, the sector is feeling pressure from regulators who are watching the industry closely. Financial and regulatory pressures weighing on companies like Telefónica, Vodafone and Orange are disproportionate. Clearly, the proverbial goose does not feel like laying golden eggs right now.
