Belgacom
Encyclopedia
The Belgacom Group is the largest telecommunication
s company in Belgium
, headquartered in Brussels
. Belgacom Group is primarily state owned, with the Belgian state holding 53.3% + 1 share. Belgacom Group offerings include fixed line communication through the Belgacom brand, mobile communications through the Proximus brand and ICT services to the professional market under the Telindus brand.
The main legal entity of Belgacom Group is Belgacom NV/SA, which following integration in 2010 includes the mobile activities of former subsidiary Proximus (Belgacom Mobile)
and the ICT services of former subsidiary Telindus (Belgacom ICT)
. Subsidiaries include Belgacom International Carrier Services, Skynet
, Tango
, and Scarlet
.
during the first few years of operation reduced the telephone network’s chances of developing. It also forced the Belgian authorities to develop a legislative framework to regulate the operation of telephony in Belgium
.
In 1896, the whole telephony
sector passed into the hands of a public company.
In 1913, a large portion of Belgium was accessible by telephone
. Although the number of subscribers was still small, the majority of railway stations, post offices and telegraphs were equipped with public telephone booths.
had caused a complete and utter suspension of telecommunications in Belgium. One of the reasons for this was the financial dependency of the public company. The damage caused during the war and the dismantling of parts of the networks meant that colossal investments were needed to manage the telegraphs and telephones.
The national telegraph and telephone company (Régie des Télégraphes et Téléphones, RTT) was set up on 19 July 1930. The public-sector company thus became autonomous: it was no longer dependent on annual State budgets and was authorized to carry out its own management.
network. More and more sectors of society now had access to telephony. At the same time, another development was unfolding that would quickly entail a major expense for the company.
During the economic crisis of the 1930s, the State would involve the RTT in its industrial and employment policy. In an attempt to reduce the high unemployment rate in the sector the State forced the entire Belgian telephone network to become automated. This development strongly restricted the autonomy of the RTT. Although the law of 1930 explicitly stated that the company could draw up and implement an investment plan in an autonomous manner, by imposing its employment policy, the State was going against the basic principle of the law. After the war, this would soon become a structural problem for the RTT.
, the RTT was faced with considerable damage and the dismantling of part of its networks. To give a quick boost to the sector, the State decided to intervene financially.
During this period, the demand for telecommunication services increased at an alarming rate. The number of subscribers quickly rose from approximately 350,000 in 1946 to 522,000 in 1951 and 1,049,000 in 1965. This growth in the customer base led to a very high rate of investment. Thanks to this, towards the end of the 1960s, the RTT found itself at the forefront of social and technological development.
But this expansionist approach had a negative side. From the late 1960s, the losses began to accumulate. And the global economic crisis in 1973 did not help matters: the company’s financial situation only worsened. This situation would lead the RTT to carry out major reorganization programs during the mid 1970s.
During the 1980s, it became clear that the telecommunications sector would become one of the key development poles at the end of the 20th century. Thus, in 1981, the RTT management began a major reorganization to solve certain structural problems within the company.
During that period, another player entered the scene. In 1987, the European Commission
published its Green Paper
on telecommunications, which focused on liberalization
.
. From now on, a management contract had to define the prerogatives of the company and the public authorities in order to guarantee the offer of a certain number of general utility public services and a wider management autonomy than that provided for in the law of 1930.
In 1994, the Europe
an convergence process began to accelerate. In a new Green Paper, the European Commission declared that the operation of the networks and telephony
must also be open to competition. 1994 was also the year in which Belgacom founded Proximus
, Belgium’s first mobile network.
On 1 July 1994, this activity, as well as the old analog Mob2 system, was transferred to a subsidiary, Belgacom Mobile, with the following shareholding: 75% Belgacom – 25% Air Touch, then Vodafone
in 1999.
At the same time, Belgacom faced competition by forming partnerships with Ameritech
, Tele Danmark and Singapore
Telecom. Various Belgian financial institutions responded by forming a consortium, which was called ADSB. The Belgian State holds 50.1% of the shares and therefore remains the main shareholder.
The BeST plan, which was mainly aimed at restructuring the company and dividing it into four “business units,” was implemented in 2001. Belgacom also disposed of certain activities such as Belgacom France
, Ben, its security activities as well as the French activities of Infosources.
The human dimension of the BeST plan was implemented in the course of 2002. The company, which employed too many staff at the time, had many reasons for adopting this plan: voluntary offers for departure, part-time work and reconversion were proposed to a large portion of the staff.
In an increasingly open market
, in which competition is more aggressive by the day, Belgacom decided to bet on the future by radically changing its image in 2003. A change of logo
, colors and the promise to be closer to its customers were the bases on which the former RTT began to work.
These radical changes in the company’s philosophy
were followed by the operator’s initial public offering
. On 22 March 2004, Belgacom was listed for the first time on the Euronext
stock market. The Belgian State remains the majority shareholder with 50% + 1 of all shares, while the ADSB consortium sold all its shares.
This enabled the Belgian incumbent operator to free considerable sums to finance its objectives. Indeed, the time has come for broadband, and the funding of the Broadway project (to cover the whole Belgian territory with fiber optic cables) requires huge investments.
2004 was also the year in which the incumbent operator carried out its first digital TV tests with a view to finding new sources of income in an increasingly competitive market.
and the takeover bid on Telindus
. The first signs of digital TV in Belgium appeared in 2004, when Belgacom started its first digital TV tests in a few hundred homes. In May 2005, the Belgian operator took the market by surprise when it acquired the rights to broadcast professional Belgian football (D1 & D2) for the next three seasons through its subsidiary Skynet iMotions Activities.
This step anticipated the imminent launch of Belgacom TV in June 2005. This digital TV offer via ADSL was the first of its kind in Belgium and transformed Belgacom into a quadruple player, offering fixed telephony, mobile telephony, high-speed Internet as well as television. It also enabled the Belgian company to secure new sources of income, given that the profit margins on its traditional activities are becoming increasingly reduced.
2005 was also the year of the takeover bid on Telindus, a leader in the network integration sector. An initial bid, considered “hostile” by the Telindus management, was made in September. This marked the start of a stock-market saga that would go on for almost four months. Tensions were high between the two companies, and the different stakeholders fought it out in the press. After a counter bid launched by France Télécom
, Belgacom eventually carried the day, arriving at a conditional partnership agreement with Telindus in late December. Belgacom had responded by increasing its bid for Telindus, which enabled the conditional partnership agreement to be reached.
In August 2006 Belgacom the acquisition of Vodafone
’s 25% share in Proximus, giving the firm a wholly owned quadruple play
offering. The firm subsequently launched its first bundled
offers between Belgacom and Proximus.
At the end of March 2009, the company had more than 555,000 Belgacom TV
customers. The coverage rate of digital television increased to 80% of the population.
On 26 June 2008, Belgacom announced an agreement to acquire Tele2
's Luxembourg division (including the Tango
cellular network in Luxembourg
and Liechtenstein
. Later the same year Belgacom completed the acquisition of broadband provider Scarlet for €175 million. The Belgian competition authority allowed the deal to go ahead after Belgacom agreed to some divestment
s, including Scarlet's fibre
network.
On 4 January 2010, Belgacom Group completes the full integration of its subsidiaries Belgacom Mobile SA/Proximus, Telindus NV, Telindus Sourcing SA, the activities of Belgacom Skynet SA and the Belgian activities of Telindus Group NV into Belgacom SA to form one legal entity. The other subsidiaries remain separate legal entities.
On 4 September 2010, Didier Bellens
announced the future launch of a second platform (called 'platform n° 2' for the time being) next to Belgacom TV. This platform will focus on interactivity and online gaming services.
brand was created in 1994, following the launch of the first mobile network. In 2005, an Interbrand study found Proximus to be the second brand in Belgium.
Proximus offers a wide line of products and mobile telecommunications services to its residential and professional customers, therefore having the largest HSDPA coverage in Belgium. In 2010, Belgacom ended the existence of Belgacom Mobile as a separate legal entity and absorbed all of its activities into Belgacom SA.
was created in June 2006, following the purchase of Telindus
by Belgacom. Since then, the ICT activities of the Belgacom Group have been offered under the Telindus brand, which accordingly changed its logo and brand style. The new Telindus brand was inspired by the changes Telindus has undergone since it was first founded, i.e. from being a technology supplier to a solution, integrator and sourcing partner. In 2010, Belgacom ended the existence of Telindus as a separate legal entity and absorbed all of its activities into Belgacom SA.
was founded in the Netherlands in 1992. The brand aims to offer its customers basic low-cost products in the areas of fixed and mobile telephony and the Internet.
was founded in 1995. At the time, it was one of the first commercial Internet providers in Belgium. From 2005, following Belgacom's takeover of the Group's Internet activities, the Skynet brand continued to exist but only in association with the Group's Web content activities.
is the company under which the Belgacom Group markets its offers in Luxembourg and Liechtenstein. The company, which was launched in 1998, has become the second-largest mobile player on the Luxembourg market.
is the brand of the digital TV offer in Belgium, launched by Belgacom in the summer of 2005. It was the first offer of its kind in the country. Belgacom TV currently holds 18% market share of digital TV in Belgium.
In 2007, the Belgacom Group reviewed the entire organisation and created a new operating structure based on 4 pillars:
Alongside, Belgacom ICS, a joint venture between Belgacom, Swisscom Fixnet
and MTN Group, is responsible for international carrier activities.
The company provides voice and data capacity and connectivity services to telecommunications operators around the world. It is now the world’s eighth-largest voice-traffic operator, and the world leader in the field of signaling services for mobile operators.
On June 26, 2009, MTN Group participated in Belgacom ICS by merging it with its own subsidiary, MTN ICS. Belgacom ICS will hence function as official international gateway for all international carrier services of Belgacom, Swisscom
and MTN group. These companies respectively hold 57.6 %, 22.4 % and 20.0 % of the shares of the company.
Telecommunication
Telecommunication is the transmission of information over significant distances to communicate. In earlier times, telecommunications involved the use of visual signals, such as beacons, smoke signals, semaphore telegraphs, signal flags, and optical heliographs, or audio messages via coded...
s company in Belgium
Belgium
Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...
, headquartered in Brussels
Brussels
Brussels , officially the Brussels Region or Brussels-Capital Region , is the capital of Belgium and the de facto capital of the European Union...
. Belgacom Group is primarily state owned, with the Belgian state holding 53.3% + 1 share. Belgacom Group offerings include fixed line communication through the Belgacom brand, mobile communications through the Proximus brand and ICT services to the professional market under the Telindus brand.
The main legal entity of Belgacom Group is Belgacom NV/SA, which following integration in 2010 includes the mobile activities of former subsidiary Proximus (Belgacom Mobile)
Proximus
Proximus, also known as Belgacom Mobile, is the largest of Belgium's three mobile telecommunications operators. It competes with Mobistar, owned by France Télécom, and Base, a subsidiary of Dutch KPN.-History:...
and the ICT services of former subsidiary Telindus (Belgacom ICT)
Telindus
Telindus was a legal entity based in Belgium that offered ICT services and solutions to the corporate and public sector, both in Belgium and internationally. These solutions also contained management and support services in relation to their ICT contracts....
. Subsidiaries include Belgacom International Carrier Services, Skynet
Belgacom Skynet
Belgacom Skynet was founded in 1995, and became a wholly owned subsidiary of Belgacom in 1998. It began by focusing on the consumer market, gradually expanding its customer base to include SMEs and corporate customers...
, Tango
Tango (telecom)
Tango Services SA, a luxembourgian subsidiary of the belgian telco Belgacom Group, provides fixed and mobile voice services and DSL services in Luxembourg and Liechtenstein. As the second mobile operator in Luxembourg, the company markets its mobile offers under the "Tango" brand.Launched in 1998,...
, and Scarlet
Scarlet (telco)
Scarlet is a telecommunications company active in The Netherlands and Belgium as an Internet Service Provider and provider of fixed and mobile telephony. It has minor operations in Luxembourg, Curaçao and Sint-Maarten....
.
The start of telephony in Belgium
In 1879, the Belgian telegraph service installed a telephone line at the Parliament. That same year, several private contractors submitted requests to operate the telephone networks in various Belgian cities. The lack of legislationLegislation
Legislation is law which has been promulgated by a legislature or other governing body, or the process of making it...
during the first few years of operation reduced the telephone network’s chances of developing. It also forced the Belgian authorities to develop a legislative framework to regulate the operation of telephony in Belgium
Belgium
Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...
.
In 1896, the whole telephony
Telephony
In telecommunications, telephony encompasses the general use of equipment to provide communication over distances, specifically by connecting telephones to each other....
sector passed into the hands of a public company.
In 1913, a large portion of Belgium was accessible by telephone
Telephone
The telephone , colloquially referred to as a phone, is a telecommunications device that transmits and receives sounds, usually the human voice. Telephones are a point-to-point communication system whose most basic function is to allow two people separated by large distances to talk to each other...
. Although the number of subscribers was still small, the majority of railway stations, post offices and telegraphs were equipped with public telephone booths.
After World War I: the shift to an autonomous public-sector company
World War IWorld War I
World War I , which was predominantly called the World War or the Great War from its occurrence until 1939, and the First World War or World War I thereafter, was a major war centred in Europe that began on 28 July 1914 and lasted until 11 November 1918...
had caused a complete and utter suspension of telecommunications in Belgium. One of the reasons for this was the financial dependency of the public company. The damage caused during the war and the dismantling of parts of the networks meant that colossal investments were needed to manage the telegraphs and telephones.
The national telegraph and telephone company (Régie des Télégraphes et Téléphones, RTT) was set up on 19 July 1930. The public-sector company thus became autonomous: it was no longer dependent on annual State budgets and was authorized to carry out its own management.
Inclusion of the RTT in the state industrial policy
When the RTT was created, huge sums were invested in the Belgian telephoneTelephone
The telephone , colloquially referred to as a phone, is a telecommunications device that transmits and receives sounds, usually the human voice. Telephones are a point-to-point communication system whose most basic function is to allow two people separated by large distances to talk to each other...
network. More and more sectors of society now had access to telephony. At the same time, another development was unfolding that would quickly entail a major expense for the company.
During the economic crisis of the 1930s, the State would involve the RTT in its industrial and employment policy. In an attempt to reduce the high unemployment rate in the sector the State forced the entire Belgian telephone network to become automated. This development strongly restricted the autonomy of the RTT. Although the law of 1930 explicitly stated that the company could draw up and implement an investment plan in an autonomous manner, by imposing its employment policy, the State was going against the basic principle of the law. After the war, this would soon become a structural problem for the RTT.
From a leading-edge company to crisis: the RTT in the post-war period
After World War IIWorld War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
, the RTT was faced with considerable damage and the dismantling of part of its networks. To give a quick boost to the sector, the State decided to intervene financially.
During this period, the demand for telecommunication services increased at an alarming rate. The number of subscribers quickly rose from approximately 350,000 in 1946 to 522,000 in 1951 and 1,049,000 in 1965. This growth in the customer base led to a very high rate of investment. Thanks to this, towards the end of the 1960s, the RTT found itself at the forefront of social and technological development.
But this expansionist approach had a negative side. From the late 1960s, the losses began to accumulate. And the global economic crisis in 1973 did not help matters: the company’s financial situation only worsened. This situation would lead the RTT to carry out major reorganization programs during the mid 1970s.
During the 1980s, it became clear that the telecommunications sector would become one of the key development poles at the end of the 20th century. Thus, in 1981, the RTT management began a major reorganization to solve certain structural problems within the company.
During that period, another player entered the scene. In 1987, the European Commission
European Commission
The European Commission is the executive body of the European Union. The body is responsible for proposing legislation, implementing decisions, upholding the Union's treaties and the general day-to-day running of the Union....
published its Green Paper
Green paper
In the Commonwealth, the Republic of Ireland and the United States a green paper is a tentative government report of a proposal without any commitment to action; the first step in changing the law...
on telecommunications, which focused on liberalization
Liberalization
In general, liberalization refers to a relaxation of previous government restrictions, usually in areas of social or economic policy. In some contexts this process or concept is often, but not always, referred to as deregulation...
.
The 1990s: the Belgacom law and the evolution of the sector under European influence
The Green Paper of 1987 was incorporated into the Belgian law of 21 March 1991, which created a new type of public-sector company with greater management autonomy. The Belgian telecommunications sector was thus reorganized and saw the creation of Belgacom, an autonomous public-sector company. This law aims to create an environment that is favorable to the competitive development of the telecommunications market in BelgiumBelgium
Belgium , officially the Kingdom of Belgium, is a federal state in Western Europe. It is a founding member of the European Union and hosts the EU's headquarters, and those of several other major international organisations such as NATO.Belgium is also a member of, or affiliated to, many...
. From now on, a management contract had to define the prerogatives of the company and the public authorities in order to guarantee the offer of a certain number of general utility public services and a wider management autonomy than that provided for in the law of 1930.
In 1994, the Europe
Europe
Europe is, by convention, one of the world's seven continents. Comprising the westernmost peninsula of Eurasia, Europe is generally 'divided' from Asia to its east by the watershed divides of the Ural and Caucasus Mountains, the Ural River, the Caspian and Black Seas, and the waterways connecting...
an convergence process began to accelerate. In a new Green Paper, the European Commission declared that the operation of the networks and telephony
Telephony
In telecommunications, telephony encompasses the general use of equipment to provide communication over distances, specifically by connecting telephones to each other....
must also be open to competition. 1994 was also the year in which Belgacom founded Proximus
Proximus
Proximus, also known as Belgacom Mobile, is the largest of Belgium's three mobile telecommunications operators. It competes with Mobistar, owned by France Télécom, and Base, a subsidiary of Dutch KPN.-History:...
, Belgium’s first mobile network.
On 1 July 1994, this activity, as well as the old analog Mob2 system, was transferred to a subsidiary, Belgacom Mobile, with the following shareholding: 75% Belgacom – 25% Air Touch, then Vodafone
Vodafone
Vodafone Group Plc is a global telecommunications company headquartered in London, United Kingdom. It is the world's largest mobile telecommunications company measured by revenues and the world's second-largest measured by subscribers , with around 341 million proportionate subscribers as of...
in 1999.
At the same time, Belgacom faced competition by forming partnerships with Ameritech
Ameritech
AT&T Teleholdings, Inc., formerly known as Ameritech Corporation , was a U.S. telecommunications company that arose out of the 1984 AT&T divestiture. Ameritech was one of the seven Regional Bell Operating Companies that was created following the breakup of the Bell System...
, Tele Danmark and Singapore
Singapore
Singapore , officially the Republic of Singapore, is a Southeast Asian city-state off the southern tip of the Malay Peninsula, north of the equator. An island country made up of 63 islands, it is separated from Malaysia by the Straits of Johor to its north and from Indonesia's Riau Islands by the...
Telecom. Various Belgian financial institutions responded by forming a consortium, which was called ADSB. The Belgian State holds 50.1% of the shares and therefore remains the main shareholder.
The BeST plan, which was mainly aimed at restructuring the company and dividing it into four “business units,” was implemented in 2001. Belgacom also disposed of certain activities such as Belgacom France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
, Ben, its security activities as well as the French activities of Infosources.
The human dimension of the BeST plan was implemented in the course of 2002. The company, which employed too many staff at the time, had many reasons for adopting this plan: voluntary offers for departure, part-time work and reconversion were proposed to a large portion of the staff.
In an increasingly open market
Open market
The term open market is used generally to refer to a situation close to free trade and in a more specific technical sense to interbank trade in securities.-Use of the term in economic theory:...
, in which competition is more aggressive by the day, Belgacom decided to bet on the future by radically changing its image in 2003. A change of logo
Logo
A logo is a graphic mark or emblem commonly used by commercial enterprises, organizations and even individuals to aid and promote instant public recognition...
, colors and the promise to be closer to its customers were the bases on which the former RTT began to work.
These radical changes in the company’s philosophy
Philosophy
Philosophy is the study of general and fundamental problems, such as those connected with existence, knowledge, values, reason, mind, and language. Philosophy is distinguished from other ways of addressing such problems by its critical, generally systematic approach and its reliance on rational...
were followed by the operator’s initial public offering
Initial public offering
An initial public offering or stock market launch, is the first sale of stock by a private company to the public. It can be used by either small or large companies to raise expansion capital and become publicly traded enterprises...
. On 22 March 2004, Belgacom was listed for the first time on the Euronext
Euronext
Euronext N.V. is a pan-European stock exchange based in Amsterdam and with subsidiaries in Belgium, France, Netherlands, Portugal and the United Kingdom. In addition to equities and derivatives markets, the Euronext group provides clearing and information services...
stock market. The Belgian State remains the majority shareholder with 50% + 1 of all shares, while the ADSB consortium sold all its shares.
This enabled the Belgian incumbent operator to free considerable sums to finance its objectives. Indeed, the time has come for broadband, and the funding of the Broadway project (to cover the whole Belgian territory with fiber optic cables) requires huge investments.
2004 was also the year in which the incumbent operator carried out its first digital TV tests with a view to finding new sources of income in an increasingly competitive market.
From 2005 to 2010: consolidation, convergence and first bundled offers
2005 was marked by two important events for Belgacom: the launch of Belgacom TVBelgacom TV
Belgacom TV, subsidiary of the Belgacom Group, provides Digital TV and Video On Demand over its own IPTV System in Belgium. It was launched in the summer of 2005....
and the takeover bid on Telindus
Telindus
Telindus was a legal entity based in Belgium that offered ICT services and solutions to the corporate and public sector, both in Belgium and internationally. These solutions also contained management and support services in relation to their ICT contracts....
. The first signs of digital TV in Belgium appeared in 2004, when Belgacom started its first digital TV tests in a few hundred homes. In May 2005, the Belgian operator took the market by surprise when it acquired the rights to broadcast professional Belgian football (D1 & D2) for the next three seasons through its subsidiary Skynet iMotions Activities.
This step anticipated the imminent launch of Belgacom TV in June 2005. This digital TV offer via ADSL was the first of its kind in Belgium and transformed Belgacom into a quadruple player, offering fixed telephony, mobile telephony, high-speed Internet as well as television. It also enabled the Belgian company to secure new sources of income, given that the profit margins on its traditional activities are becoming increasingly reduced.
2005 was also the year of the takeover bid on Telindus, a leader in the network integration sector. An initial bid, considered “hostile” by the Telindus management, was made in September. This marked the start of a stock-market saga that would go on for almost four months. Tensions were high between the two companies, and the different stakeholders fought it out in the press. After a counter bid launched by France Télécom
France Télécom
France Telecom S.A. is the main telecommunications company in France, the third-largest in Europe and one of the largest in the world. It currently employs about 180,000 people and has 192.7 million customers worldwide . In 2010 the group had revenue of €45.5 billion...
, Belgacom eventually carried the day, arriving at a conditional partnership agreement with Telindus in late December. Belgacom had responded by increasing its bid for Telindus, which enabled the conditional partnership agreement to be reached.
In August 2006 Belgacom the acquisition of Vodafone
Vodafone
Vodafone Group Plc is a global telecommunications company headquartered in London, United Kingdom. It is the world's largest mobile telecommunications company measured by revenues and the world's second-largest measured by subscribers , with around 341 million proportionate subscribers as of...
’s 25% share in Proximus, giving the firm a wholly owned quadruple play
Quadruple play
In telecommunications, quadruple play is a marketing term combining the triple play service of broadband Internet access, television and telephone with wireless service provisions...
offering. The firm subsequently launched its first bundled
Product bundling
Product bundling is a marketing strategy that involves offering several products for sale as one combined product. This strategy is very common in the software business , in the cable television industry Product bundling is a marketing strategy that involves offering several products for sale as...
offers between Belgacom and Proximus.
At the end of March 2009, the company had more than 555,000 Belgacom TV
Belgacom TV
Belgacom TV, subsidiary of the Belgacom Group, provides Digital TV and Video On Demand over its own IPTV System in Belgium. It was launched in the summer of 2005....
customers. The coverage rate of digital television increased to 80% of the population.
On 26 June 2008, Belgacom announced an agreement to acquire Tele2
Tele2
Tele2 AB is a major European telecommunications operator, with about 34 million customers in 11 countries. It serves as a fixed-line telephone operator, cable television provider, mobile phone operator and Internet service provider.- Overview :...
's Luxembourg division (including the Tango
Tango (telecom)
Tango Services SA, a luxembourgian subsidiary of the belgian telco Belgacom Group, provides fixed and mobile voice services and DSL services in Luxembourg and Liechtenstein. As the second mobile operator in Luxembourg, the company markets its mobile offers under the "Tango" brand.Launched in 1998,...
cellular network in Luxembourg
Luxembourg
Luxembourg , officially the Grand Duchy of Luxembourg , is a landlocked country in western Europe, bordered by Belgium, France, and Germany. It has two principal regions: the Oesling in the North as part of the Ardennes massif, and the Gutland in the south...
and Liechtenstein
Liechtenstein
The Principality of Liechtenstein is a doubly landlocked alpine country in Central Europe, bordered by Switzerland to the west and south and by Austria to the east. Its area is just over , and it has an estimated population of 35,000. Its capital is Vaduz. The biggest town is Schaan...
. Later the same year Belgacom completed the acquisition of broadband provider Scarlet for €175 million. The Belgian competition authority allowed the deal to go ahead after Belgacom agreed to some divestment
Divestment
In finance and economics, divestment or divestiture is the reduction of some kind of asset for either financial or ethical objectives or sale of an existing business by a firm...
s, including Scarlet's fibre
Optical fiber
An optical fiber is a flexible, transparent fiber made of a pure glass not much wider than a human hair. It functions as a waveguide, or "light pipe", to transmit light between the two ends of the fiber. The field of applied science and engineering concerned with the design and application of...
network.
On 4 January 2010, Belgacom Group completes the full integration of its subsidiaries Belgacom Mobile SA/Proximus, Telindus NV, Telindus Sourcing SA, the activities of Belgacom Skynet SA and the Belgian activities of Telindus Group NV into Belgacom SA to form one legal entity. The other subsidiaries remain separate legal entities.
On 4 September 2010, Didier Bellens
Didier Bellens
Didier Bellens is a Belgian businessman. He is the CEO of Belgacom, the leading telecommunications company of Belgium. He is married and has two children.-Education:...
announced the future launch of a second platform (called 'platform n° 2' for the time being) next to Belgacom TV. This platform will focus on interactivity and online gaming services.
Belgacom NV/SA
The Belgacom brand was established in 1992, following the dissolution of the RTT. As the company changed its articles of association several times to comply with national and European legal provisions, its logo changed with it. The very first logo, with the inverted orange arrows, was replaced by a more "human" logo. On 4 January 2010, Belgacom NV/SA absorbed the activities of mobile operator Proximus and ICT services provider Telindus, thus ending their existence as subsidiaries.Proximus (Belgacom Mobile)
The ProximusProximus
Proximus, also known as Belgacom Mobile, is the largest of Belgium's three mobile telecommunications operators. It competes with Mobistar, owned by France Télécom, and Base, a subsidiary of Dutch KPN.-History:...
brand was created in 1994, following the launch of the first mobile network. In 2005, an Interbrand study found Proximus to be the second brand in Belgium.
Proximus offers a wide line of products and mobile telecommunications services to its residential and professional customers, therefore having the largest HSDPA coverage in Belgium. In 2010, Belgacom ended the existence of Belgacom Mobile as a separate legal entity and absorbed all of its activities into Belgacom SA.
Telindus (Belgacom ICT)
Telindus-Belgacom ICTTelindus
Telindus was a legal entity based in Belgium that offered ICT services and solutions to the corporate and public sector, both in Belgium and internationally. These solutions also contained management and support services in relation to their ICT contracts....
was created in June 2006, following the purchase of Telindus
Telindus
Telindus was a legal entity based in Belgium that offered ICT services and solutions to the corporate and public sector, both in Belgium and internationally. These solutions also contained management and support services in relation to their ICT contracts....
by Belgacom. Since then, the ICT activities of the Belgacom Group have been offered under the Telindus brand, which accordingly changed its logo and brand style. The new Telindus brand was inspired by the changes Telindus has undergone since it was first founded, i.e. from being a technology supplier to a solution, integrator and sourcing partner. In 2010, Belgacom ended the existence of Telindus as a separate legal entity and absorbed all of its activities into Belgacom SA.
Scarlet
ScarletScarlet (telco)
Scarlet is a telecommunications company active in The Netherlands and Belgium as an Internet Service Provider and provider of fixed and mobile telephony. It has minor operations in Luxembourg, Curaçao and Sint-Maarten....
was founded in the Netherlands in 1992. The brand aims to offer its customers basic low-cost products in the areas of fixed and mobile telephony and the Internet.
Skynet
SkynetBelgacom Skynet
Belgacom Skynet was founded in 1995, and became a wholly owned subsidiary of Belgacom in 1998. It began by focusing on the consumer market, gradually expanding its customer base to include SMEs and corporate customers...
was founded in 1995. At the time, it was one of the first commercial Internet providers in Belgium. From 2005, following Belgacom's takeover of the Group's Internet activities, the Skynet brand continued to exist but only in association with the Group's Web content activities.
Tango
TangoTango (telecom)
Tango Services SA, a luxembourgian subsidiary of the belgian telco Belgacom Group, provides fixed and mobile voice services and DSL services in Luxembourg and Liechtenstein. As the second mobile operator in Luxembourg, the company markets its mobile offers under the "Tango" brand.Launched in 1998,...
is the company under which the Belgacom Group markets its offers in Luxembourg and Liechtenstein. The company, which was launched in 1998, has become the second-largest mobile player on the Luxembourg market.
PingPing
PingPing is the neutral, independent brand of Mobile-for grouping all the mobile micropayment activities.Euremis
The Euremis brand represents the experience of Belgacom Group in CRM mobile solutions. Under the Euremis brand, Belgacom offers mobile customer management solutions to sales staff in the FMCG (Fast Moving Consumer Goods) and pharmaceutical sectors. Euremis was founded as an independent company in 2002 and acquired in September 2006 by Proximus. On 23 August 2010 Belgacom Group announced to end the existence of Euremis as a separate legal entity and fully absorb its activities into Belgacom SA, as of 1 October 2010.Belgacom TV
Belgacom TVBelgacom TV
Belgacom TV, subsidiary of the Belgacom Group, provides Digital TV and Video On Demand over its own IPTV System in Belgium. It was launched in the summer of 2005....
is the brand of the digital TV offer in Belgium, launched by Belgacom in the summer of 2005. It was the first offer of its kind in the country. Belgacom TV currently holds 18% market share of digital TV in Belgium.
Group structure
- The Consumer Business Unit (CBU)
- The Enterprise Business Unit (EBU)
- The Service and Delivery Engine Unit & Wholesale (SDE&W)
- The Staff and Support Unit
Alongside, Belgacom ICS, a joint venture between Belgacom, Swisscom Fixnet
Swisscom
Swisscom AG is a major telecommunications provider in Switzerland. Along with Swiss Post, it is a successor company to the former state-owned PTT. Its headquarters are located at Worblaufen near Bern...
and MTN Group, is responsible for international carrier activities.
Consumer Business Unit (CBU)
The Consumer Business Unit markets voice products and services, internet and television, both on fixed and mobile networks, for residential clients.Enterprise Business Unit (EBU)
The Enterprise Business Unit meets the ICT needs of professional clients.Service Delivery Engine & Wholesale (SDE&W)
Service Delivery Engine and Wholesale (SDE&W) groups together the network and IT services. Its wholesale activity offers telecommunications services to other operators and suppliers on the Belgian market.Staff and Support (S&S)
This unit brings together all the horizontal functions that support the Group’s activities.International Carrier Services (ICS)
These activities of the Belgacom Group are provided by its subsidiary Belgacom International Carrier Services NV/SA.The company provides voice and data capacity and connectivity services to telecommunications operators around the world. It is now the world’s eighth-largest voice-traffic operator, and the world leader in the field of signaling services for mobile operators.
On June 26, 2009, MTN Group participated in Belgacom ICS by merging it with its own subsidiary, MTN ICS. Belgacom ICS will hence function as official international gateway for all international carrier services of Belgacom, Swisscom
Swisscom
Swisscom AG is a major telecommunications provider in Switzerland. Along with Swiss Post, it is a successor company to the former state-owned PTT. Its headquarters are located at Worblaufen near Bern...
and MTN group. These companies respectively hold 57.6 %, 22.4 % and 20.0 % of the shares of the company.
Shareholding structure
Situation as of 31 January 2011:- Belgian stateBelgian federal governmentThe Cabinet of Belgium is the executive branch of the Belgian federal government, consisting of ministers and secretaries of state drawn from the political parties which form the governing coalition. Formally, the ministers are appointed by the King...
: 53.51% - Belgacom NV/SATreasury stockA treasury stock or reacquired stock is stock which is bought back by the issuing company, reducing the amount of outstanding stock on the open market ....
: 4.89% - Floating shares on the stock market: 41.59%
Financial data
Financial data in millions of euros:| Year | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 |
|---|---|---|---|---|---|---|
| Total revenue before non-recurring items | 5458 | 6100 | 6065 | 5978 | 5990 | 6552 |
| Net income | 959 | 973 | 958 | 800 | 904 | 1266 |
See also
- European Competitive Telecommunications AssociationEuropean Competitive Telecommunications AssociationThe European Competitive Telecommunications Association was formed in 1997 by Robert J. Dombkowski and Elizabeth J. Schumacher, founders of MCN, UK, who collectively brought together a group of telecommunications resellers and suppliers in Europe in order to push for deregulation of the...
- John J. GoossensJohn J. GoossensBaron John J. Goossens was a Belgian businessman. He was the Chief Executive Officer of Belgacom and lead the Royal Automobile Club of Belgium. He was made a Baron by H.M...
- Bessel KokBessel KokBessel Kok is a Dutch businessman and chess organiser living in Prague. He has served in top management positions in telecommunications companies in Belgium and in the Czech Republic...