A growing strategic reality in the global telecom business is the need to "go out of region" to fuel growth. Belgacom, for example, is offering €420m to the cable companies and municipal shareholders of the Belgian cablenet Interkabel.
In a statement the incumbent telco said that its offer was €70m more than had been made by its rival Telenet and 40 percent more than the upfront payment offered to the municipalities.
In this case there is the additional tactical consideration of buying customer base and revenue that is denied a key in-region competitor.
But make no mistake: organic growth is slow, tedious work these days. Leaps occur mostly through acquisition.
Wednesday, June 11, 2008
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