Profile: Koninklijke KPN NV (KKPNY.PK)
Koninklijke KPN N.V. (KPN), incorporated in 1989, is a telecommunications and information and communication technology (ICT) service provider in the Netherlands, offering wireline and wireless telephony, Internet and television (TV) to consumers and end-to-end telecommunications and ICT services to businesses. The Netherlands consists of segments, such as Consumer Segment, Business Segment, Getronics Segment, Wholesale & Operations Segment, iBasis Group and The Netherlands’ Other Segment. Mobile International comprises Germany Segment, including E-Plus and blau Mobilfunk; Belgium Segment, including KPN Group Belgium, and Rest of World Segment, including KPN France, KPN Spain and Ortel Mobile. On January 22, 2010, KPN acquired the remaining 35% shares in Ortel Mobile. In December 2010, KPN acquired Atlantic Telecom. In 2010, KPN acquired a 6% interest in Jasper Wireless. On December 20, 2010, KPN acquired 100% of the shares of Atlantic Telecom Holding. In July 2010, Koninklijke KPN N.V. acquired Yes Telecom.
KPN offers consumers a portfolio of services, consisting of voice, Internet and TV services. KPN provides this portfolio on both its mobile and fixed networks. By providing fixed and mobile telephony, Internet and TV, KPN offers retail customers a package of services in the areas of communication, information, entertainment and commercial services. The segment’s products and services include wireline services (Internet, telephony and TV) and wireless services (retail and wholesale). The network upgrade also enabled a national iTV launch in 2010 offering various features that enhance the value proposition, with a focus on interactivity and video on demand. On the wireless side, KPN launched new mobile data propositions (mainly from flat fee to volume-based pricing) and invested in national distribution footprints for its three mobile brands (KPN, Hi and Telfort).
The Company competes with Vodafone, T-Mobile UPC and Ziggo.
KPN offers its business customers (small, medium size) a complete portfolio of services from fixed and mobile telephony and Internet to a range of data network services, workspace management and data center services. In voice and Internet wireline, KPN offers fixed-line telephony access services over analogue lines (PSTN), digital lines (ISDN) and increasingly over IP-based connectivity (VoIP). KPN offers a range of mobile communications solutions, such as wireless e-mail solutions (BlackBerry, Windows Mobile) and Mobile Internet Cards. KPN offers a range of data/network communication services from traditional data services to modern virtual private network services (such as IP-VPN, Ethernet VPN) and Internet Access Services. KPN also provides its business customers with the Getronics portfolio, workspace management, data centers and consultancy services.
The Company competes with Vodafone and T-Mobile, Tele2/Versatel, Verizon Business, Orange Business Services, BT, AT&T, Colt, Essent and UPC.
Wholesale & Operations
The Wholesale & Operations (W&O) segment provides network services and facilitates all infrastructure needs to internal KPN segments, as well as external wholesale customers. Through W&O, KPN operates an open access model and is a wholesale partner for all providers that need connections to their clients. W&O is responsible for KPN’s operational activities for the Dutch networks (both fixed and mobile) and for KPN’s wholesale customers and portfolio in the Netherlands. National Wholesale Services are provided through KPN Carrier Services (CS). CS provides other telecommunication companies with access to end solutions on nationwide fixed and mobile networks. Also part of W&O provides real estate services, which focuses on managing all facility management services for internal KPN Segments, as well as the sale of real estate.
Getronics is the ICT services company of KPN covering enterprise market customers. Getronics operates an ICT services company in the Benelux, offering end-to-end solutions in infrastructure and network-related IT to corporate customers. Getronics can provide workspace management on any scale at any location. During the fiscal year ended December 31, 2010, Getronics serviced for 2.3 million ICT assets. The Workspace Services requires connectivity services that enable companies to exchange information. Getronics Consulting Services uses formal, standards-based tools and methods to undertake meaningful analysis and produce practical and executable recommendations.
The Company competes with IBM, Atos Origin, CapGemini, BT and T-Systems.
iBasis carries international phone calls worldwide. KPN provides wholesale network services to third parties and operates an IP-based infrastructure with global scale in international wholesale through iBasis. The company offers its carrier customers a range of global call termination products that provide flexibility of coverage and features, as well as a portfolio of value-added data services for mobile operators. iBasis offers a voice product portfolio: value voice, direct voice, certified voice and premium voice. In the mobile market, iBasis offers a portfolio of value-added mobile data services, Mobile Matrix, which includes global signaling, mobile messaging and roaming.
The Company competes with Verizon, AT&T, Tata, BICS and Deutsche Telekom.
E-Plus is a network operator with own brands ( E-Plus and BASE) and partners in Germany. E-Plus continued its multi-brand strategy with various tariff structures: E-Plus brand with bundle packages, such as time and more, BASE offering flat-fee packages, Simyo as Web-only prepaid mobile operator and Ay Yildiz offering prepaid and postpaid products for the Turkish-speaking community. Wholesale solutions are offered for an increasing number of partners, which act as branded resellers, including Medion, WAZ, MTV and MVNOs, such as Versatel, NetCologne and Ecotel. In 2010, new propositions were launched like ADAC with Safety belt. In February 2010, BASE was re-launched.
The Company competes with T-Mobile, Vodafone, E-Plus, O2, Freenet/Mobilcom, Medion, Fonic, Congstar, Klarmobil, Tchibo and Victor Vox.
KPN Group Belgium is a network operator with own brands (BASE) and partners in Belgium. BASE is the retail brand for prepaid and postpaid products. Simyo as Web-only prepaid mobile operator. Under the Ay Yildiz brand, prepaid and postpaid products for the Turkish speaking community are offered. BASE Business offers products for the business market (Soho-SME) and the Zoniq brand has products with interesting tariffs for roaming and international calls.
The Company competes with Belgacom Mobile (Proximus) and Mobistar.
Rest of World
KPN Spain, KPN France and Ortel Mobile are the virtual network operators offering mobile services through their own brands and partners. Ortel Mobile particularly focuses on the cultural segments in the Netherlands, Germany, Belgium, France and Spain. KPN launched several own brands and partner brands in the Spanish and French market, through partnering with local network operators (respectively Orange SA and Bouygues Telecom) instead of operating its own network. In France, KPN also focuses on its international Simyo brand through enhanced offerings and targeted promotions. In March 2010, Ortel France was launched, targeting cultural segments in the French market.
The Company competes with Movistar, Vodafone, Orange and Yoigo, SFR and Bouygues Telecom, Lebara and Lyca.
Koninklijke KPN NV
DEN HAAG 2516 CK
Company Web Links
- BRIEF-KPN NV gets 5 bln euro and 20.5 pct stake in Telefónica Deutschland
- BRIEF-KPN NV appoints Jan Kees De Jager new CFO
- Telefonica Deutschland to raise $4.7 billion for E-Plus buy
- Telefonica Deutschland gets final EU clearance for E-Plus deal
- Fitch: No Rating Impact from KPN's Proposed Capital Securities Amendments