Telekom: Why price increases are still possible in 2020

Telekom could still increase the prices of the services it offers in Romania, the telecommunications group announcing that its main objective is profit.

Financial Telekom

Telekom the year 2020 began with the announcement of a price increase for customers in Romania, the third in just one year, and of course a lot of people were disappointed to learn this. I told you this month that the reason for these price increases was GEO 114/2018, several operators doing the same, but in the case of Telekom things could continue in 2020, the group being determined to make a profit at any cost, even driving away customers.

Telekom he said that if the Romanian Government no longer introduces taxes that it did not anticipate, then it should not increase the prices for its services, but if this happens, then the prices will increase. The entire telecom market reacted in 2019 after the adoption of GEO 114/2018, but Orange was the only company that escaped without too many complaints, and that's because, unlike Telekom and others, it changed the offer of subscriptions, instead of increase prices.

Telekom: Why price increases are still possible in 2020

Telekom made successive price increases, which upset many customers, but despite this, only a few hundred thousand disappeared from the company's official customer figures in 2018. Telekom is also looking for segments where there are losses for services, and wants to solve this problem as quickly as possible, some price increases being possible so that the operator does not lose money with the services it offers to its customers.

Telekom wants to make as much profit as possible in Romania, this being the main goal of the telecommunications operator, even if it will have to increase the prices for the services it offers. No one publicly knows now in which segments Telekom would record losses, but for the moment the operator does not anticipate possible price increases if the Government "stays right", and segments with large losses will not be found in its divisions.

Telekom had a rather hectic year, and this while he managed to reach an agreement with Orange to sell its fixed services division, but this sale remains "suspended" for the time being due to the political problems in Romania.