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registration document France Telecom 2009 - Orange.com

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overview of the Group’s Business<br />

6<br />

OVERVIEW OF BUSINESS<br />

Ivory Coast<br />

<strong>Orange</strong> Money<br />

The ATCI gave its agreement for the launch of <strong>Orange</strong> Money,<br />

which provides a simple payment solution via mobile phones for<br />

an underbanked population.<br />

Mobile Interconnection<br />

On February 3, <strong>2009</strong> the ATCI changed the interconnection<br />

price from 57 CFA francs to 45 CFA francs ex VAT per minute.<br />

SMS and MMS are at 20 CFA francs ex VAT. On January 1,<br />

2010, the interconnection price changed to 43 CFA francs<br />

ex VAT.<br />

Mobile Operators<br />

The arrival of two new operators brings the number of mobile<br />

operators to 7. The two new operators are E mirati Warid and<br />

R.Com. According to the ATCI, the market will be self-regulating<br />

and only the most effi cient operators will remain.<br />

Program launched by the ATCI for the Identification of Mobile Subscribers<br />

This operation started on July 1, <strong>2009</strong> and will take place until<br />

December 31, 2010. All subscribers possessing SIM cards<br />

must be registered by their operators by supplying information<br />

regarding their identity backed by offi cial <strong>document</strong>s. Following<br />

this procedure, those that have not <strong>com</strong>e forward will have their<br />

service terminated.<br />

Tax on in<strong>com</strong>ing International Traffic<br />

<strong>Orange</strong> Côte d’Ivoire and Côte d’Ivoire Télé<strong>com</strong> are opposed to<br />

the tax on in<strong>com</strong>ing international traffi c. The government took<br />

note of the operators’ arguments and suspended application<br />

of this tax.<br />

Côte d’Ivoire Télé<strong>com</strong> and <strong>Orange</strong> Côte d’Ivoire’s Activities<br />

Z FINANCIAL AND OPERATING INDICATORS<br />

Financial and operating indicators <strong>2009</strong> 2008 2007<br />

Revenues (in millions of euros) 458 444 413<br />

Number of customers (in thousands)<br />

Fixed-line 284 279 250<br />

I nternet-line 47 44 23<br />

Mobile customers 3,817 4,142 2,860<br />

Mobile ARPU (euros per year) 97 109 136<br />

6<br />

Source: <strong>Orange</strong><br />

<strong>Orange</strong> owns an 85% interest in <strong>Orange</strong> Côte d’Ivoire(CIT),<br />

which began operating its network in 1996 under the Ivoiris<br />

brand, and a 45.90% interest in Côte d’Ivoire Télé<strong>com</strong> (CIT),<br />

Ivory Coast’s incumbent tele<strong>com</strong>munications operator, which<br />

supplies fi xed-line telephony services, as well as broadband<br />

and wholesale services.<br />

Since May 2002, <strong>Orange</strong> Côte d’Ivoire has operated under<br />

the <strong>Orange</strong> brand in Ivory Coast. Its strategy is to develop<br />

integrated offers and convergent services, based on growth in<br />

multi-equipment.<br />

<strong>Orange</strong> Côte d’Ivoire also pursued its growth in rural areas in<br />

<strong>2009</strong>, with an ambitious program of extensions to its mobile<br />

coverage: 1,050 sites as of end <strong>2009</strong>, 210 of which were<br />

installed in <strong>2009</strong>.<br />

Côte d’Ivoire Télé<strong>com</strong> had more than 47,000 Internet customers<br />

as of end <strong>2009</strong>. Growth in customers slowed in <strong>2009</strong> because<br />

of a high churn rate early in the year, due to major recruitment<br />

campaigns late in 2008, making customer retention a major<br />

challenge. Work done to segment the range and improve the IT<br />

system nevertheless helped reduce the churn rate signifi cantly<br />

in the second half of <strong>2009</strong>, and at the same time enabled new<br />

offers to be brought to the market.<br />

Côte d’Ivoire Télé<strong>com</strong> operated more than 284,000 fi xed<br />

lines as of end <strong>2009</strong>, a stagnation (+1.8%) attributable to the<br />

<strong>com</strong>petition created by the development of mobile telephony.<br />

Offers<br />

In May <strong>2009</strong>, <strong>Orange</strong> Côte d’Ivoire launched a range of mobile<br />

offers segmented in four categories, more suited to meet<br />

customer needs:<br />

■ a basic offer with a fl at rate targeting fi rst-time users;<br />

■ a family offer with very attractive prices for intra-network<br />

<strong>com</strong>munications and calls to favorite numbers, to foster<br />

customer loyalty;<br />

■ an offer aimed at young people, with a 50% reduction on<br />

SMS and value-added services, as well as unlimited SMS<br />

after 10.00 pm;<br />

■ a premium monthly subscription with international calls at<br />

national prices and a program for changing handset.<br />

<strong>Orange</strong> Côte d’Ivoire also offers its customers an abundance<br />

offer enabling them to benefi t from free calling minutes. Pressing<br />

ahead with its efforts on innovation, <strong>Orange</strong> Côte d’Ivoire has<br />

launched a mobile payment solution, <strong>Orange</strong> Money, which is<br />

a response to the underbanking in the country . Lastly, a 7,117<br />

school service is also available, enabling parents to monitor<br />

their children’s school results by SMS (grades, attendance, fi nal<br />

grades). Schools are stakeholders in the scheme and get part<br />

of the revenues it generates. Education being a priority, this<br />

innovative service has received a warm wel<strong>com</strong>e from schools<br />

and parents alike.<br />

<strong>2009</strong> REGISTRATION DOCUMENT / FRANCE TELECOM<br />

135

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