Telenor Montenegro

Last updated June 2012

Telenor Montenegro was established in 1996, as Montenegro’s first mobile operator, under the name Promonte. Promonte was rebranded as Telenor Montenegro on 19 May 2010. Telenor became a shareholder of Promonte in 1996. Since August 2004, Promonte has been wholly-owned by Telenor. Telenor Montenegro primarily offers mobile voice, roaming, value-added services and mobile data services, including HSPA, to its subscribers on both a prepaid and contract basis. As at 31 March 2012, Telenor Montenegro had 401,000 mobile subscriptions. As at 31 March 2012, the mobile penetration and number of inhabitants in Montenegro were 160% and 0.6 million, respectively.

Network and licences

Telenor Montenegro holds a GSM 900 MHz and a GSM 1800 MHz licence. Both licences are scheduled to expire in January 2017. In April 2007, Promonte was awarded a UMTS licence for a period of 15 years. As at 31 March 2012, Telenor’s GSM network had geographical coverage of approximately 78% and population coverage of approximately 99%. The 3G network was launched in June 2007 and, as at 31 March 2012, covered 87% of the population. Telenor Montenegro also provides full EDGE coverage in its GSM network. During late 2009 and the beginning of 2010, Telenor Montenegro replaced its entire mobile network. Furthermore, in the fourth quarter of 2010, Telenor Montenegro replaced its service platforms and integrated a new billing system during the course of 2011.

Competition

Telenor is Montenegro’s largest provider of mobile communication services, with an estimated subscription market share of 39.8% as at 31 March 2012. In addition to Telenor, there are two other mobile operators in Montenegro: T-Mobile and M:Tel. Both T-Mobile and M:Tel hold GSM and UMTS licences. The estimated market share of T-Mobile and M:Tel as at 31 March 2012 was 34.9% and
25.3% respectively. T-Mobile is majority owned by the T-Group through Magyar Telecom in Hungary. M:Tel is owned by a consortium of Telekom Serbia and Ogalar. During 2007, the entry of M:Tel as the third mobile operator had a significant impact on the competitive environment in Montenegro. All  three  companies  are  operated  and  majority  owned  by  companies  with international/regional ambitions, and competition is becoming more focused on regional strengths and activities.

Regulatory matters

A new Law on Electronic Communications came into force in August 2008. In accordance with the provisions  of  the  Law  on  Electronic  Communications,  the  Ministry  of  Maritime  Affairs, Transportation and Telecommunication and the Agency for Electronic Communication and Postal Services (the Agency) introduced several rulebooks related to mobile number portability, customer registration and change of mobile country code. The Agency will also have to carry out market analysis for a number of relevant markets in order to designate SMP providers and impose appropriate remedies – a methodology in line with the EU regulatory framework.