For several months, Telekom has been one of the largest telecommunications operators in all of Romania, with approximately 10 million customers paying for its services. In a few months, Telekom will sell its fixed services division to those from Orange, and after the transaction only the mobile services division will remain in our country, and this will leave the company somewhat weaker in terms of market position, but with enough money in accounts for what is to come.
Telekom will have a rather complicated year 2021 due to the sale to Orange, but apart from that there will be another major change that the company will go through. Those from Telekom will have to make significant investments to catch up with Orange, Digi, Vodafone in terms of the 5G network, which currently does not exist at the subsidiary of the German group, and this is because the Romanian Government has not clarified the infrastructure situation.
Telekom: Important Decisions in 2021 for All Customers
Telekom will have to invest hundreds of millions of euros to buy licenses for 5G frequencies, but also for the equipment used to create the infrastructure that will be used throughout the country. This money will have to be spent by those from Telekom in the following years, not all in 2021, but this year serious sums will have to be transferred to the Romanian state for the licenses that will be granted following the auction for 5G frequencies, which could take place in the autumn.
Telekom has repeatedly said that only after it will buy the necessary licenses for the 5G infrastructure, and after the situation regarding the possibility of using 5G equipment is clarified, will it start building its infrastructure. Now that it is clear that Huawei will not supply much equipment, those from Telekom will probably focus on planning the realization of the 5G infrastructure in Romania, but it will take many months to have coverage in the country.
Telekom will reveal more before or after the auction for 5G frequencies, for now its intentions regarding the implementation of the infrastructure are not clearly known.
