TIM turns to quad-play to drive revenues

By:
James Pearce
Published on:

Telecom Italia promises €4.5 billion investment in fibre and 4G over the next three years

Telecom Italia (TIM) will focus on convergence and quad-play as it looks to drive its top line revenue, according to a strategy unveiled this week.

Telecom Italia has more than 40 million fixed and mobile lines in Italy. During the strategy announcement, it said it would focus on cross-selling fixed, landline, mobile and television services to new and existing customers, through converged bundles, known as quad-play.

“TIM intends to give strong impetus to the spread of quadruple play solutions with TIM Smart, the convergent offer aimed at Italian families which offers Internet, landline and mobile services, and premium content in a single solution.  For new clients the offer is set at 29.90 euros per month for the first year and the first month is free.  TIM will reserve a free three month trial for all customers who choose TIM Smart Casa or TIM Smart Mobile and are covered by the fibre optic service.

“For customers who already have ADSL 7 Mega, TIM will provide an upgrade to the maximum speed permitted by this technology, free of charge until June 2017. With the Happy Hour initiative, TIM will also give pay-as-you-go consumer customers the possibility to browse in 4G free of charge from their smartphone for three hours a day from 7 p.m. to 10 p.m. for one month.”

The strategy will be underpinned by an investment of more than €4.5 billion which will be allocated to the development of new fibre and 4G infrastructure between 2016 and 2018.

TIM said its fibre network will cover 14 million homes by the end of 2016, with a rate of over 7,320km of fibre laid each day throughout Italy. It set an aim of providing more than 84% of Italian homes with fibre and a 4G population coverage target of 98% by 2018.

“TIM aims to strengthen its leadership through the new offers, new products and new services: we are working on efficiency to improve the processes and ensure we have the flexibility that allows us to accelerate on the top line, on revenue generation. We have a portfolio of offers and products that will gradually be strengthened, exclusive partnerships and quality content, but above all we want to bring the customer back to the centre of all our actions, further improving the quality and services,” said Flavio Cattaneo, chief executive officer of TIM.

TIM also unveiled the launch of a new €30 million data centre, based in Rome, with tier-five certification. The new centre covers 4,000 sq ft and is the eighth TIM owns in Italy.

Telecom Italia has more than 40 million fixed and mobile lines in Italy. During the strategy announcement, it said it would focus on cross-selling fixed, landline, mobile and television services to new and existing customers, through converged bundles, known as quad-play.

Telecom Italia announced a rebrand last year, adopting the TIM mobile branding across its fixed, mobile and internet business.