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UPC falls further on TV in the face of tough competition from RCS&RDS and Romtelecom’s cable company

04.08.2010, 23:04 10

UPC, ranking second on the domestic TV services market,continued to lose subscribers in the second quarter of the yearamid the rough battle for clients with rivals such as RCS&RDSand Romtelecom (NextGen), but managed to ramp up its revenues by 1%amid a rising number of users of more expensive services. UPC, theformer leader of the domestic cable TV market, with almost 1.4million clients in 2006, slid below the one million clientthreshold on this segment, with the total number of users on thevideo segment falling by 69,800 subscribers from last year. Thedecline comes as Q2 saw the contracts of a high number ofsubscribers expire, with UPC unable to retain the respectivesubscribers amid some unusually aggressive offers from RCS&RDSand NextGen (Romtelecom) targeting UPC clients. This was doubled bythe impact of difficult economic conditions. The ending ofcontracts for a significant number of clients also brought UPC thefirst decline in recent years on expanding market segments, such asthe Internet. The company also lost clients on fixed telephony. Onthe other hand, the company underscored it managed to boost thenumber of clients paying for premium services.


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