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August 12, 2011
The state-owned incumbent telco in Luxembourg, P&T, will commercially launch 100Mbit/s and 30Mbit/s broadband services via its hybrid VDSL and fibre-to-the-premises (FTTP) network in September 2011. 85% of homes in Luxembourg will have access to 30Mbit/s, while 25% will be able to take 100Mbit/s packages, marketed under the "LuxFibre" brand. Beyond broadband, the telco plans to expand the range of HD TV channels available to its IPTV subscriber base. Prices and location availability have yet to be announced.
The telco is investing over €0.5bn to complete the rollout. Independent ISPs will have access to the incumbent's next-gen network to offer their own retail services, via a range of wholesale and unbundling products.
The move responds to Luxembourg's government's plan for all homes to have access to 100Mbit/s via FTTP or DOCSIS 3.0 cable networks by 2015. P&T is the first major operator to launch next-gen broadband products beyond 30Mbit/s in the country. Cable operator Numericable is P&T's closest rival in terms of high-speed broadband packages, offering 30Mbit/s for €43/month - it is expected P&T's 30Mbit/s packages will be similarly priced.
The incumbent in Luxembourg dominates the country's broadband market, with limited competition in the current- and next-gen sectors from DSL providers (Tango, Orange) and cablecos (Numericable, Eltrona). In the DSL sector, the unbundling and wholesale segments remain comparatively underdeveloped, accounting for just 0.03m connections combined as of Q2 2011, according to IHS Screen Digest data. By comparison, P&T claimed 0.11m retail broadband subscribers at end Q2 2011, and a 65% share of the total broadband market of 0.17m connections.
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