Having recently read Slavenka Drakulic’s marvellous and wholly wry little book Cafe Europa, I think it is worth noting the real differences that exist in the fixed broadband markets of all the countries in Eastern Europe. And that is the theme of Slavenka’s book: that culture matters and that generalisations are dangerous.
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Deutsche Telekom (DT) would appear the obvious candidate to acquire Bulgarian incumbent Vivacom. The German telecoms group owns direct majority stakes in a few incumbents across Eastern Europe (Hungary, Slovakia), as well as indirect and minority stakes in others in the region. Vivacom is owned by AIG Investments, which is part of the wider AIG Group that was bailed out to the tune of billions of dollars by the American taxpayer. Insiders say AIG would be willing to sell, but any acquisition by Deutsche Telekom would by no means be plain sailing.
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As part of the broadband team at Informa’s drive to cover all growth markets I have taken a careful look at some countries in the Balkan region. For the cineastes amongst you, it has been a voyage of discovery redolent of Harvey Keitel in Angelopoulos’ masterful Ulysees’ Gaze. Kosovo is one such market I have looked into and the evidence shows there is much potential. Read the rest of this entry »
Although there are some significant variations and investment in new networks, fixed broadband penetration in Central Asia and the Caucasus remains low. One factor holding back development has been political. Many of these countries are dictatorships or at best deeply flawed democracies. The question is whether such regimes want citizens to have access to broadband and the window onto the world it can provide. Read the rest of this entry »