Telefónica Germany will launch a new strategic plan aimed at regaining growth in the country, its CEO Santiago Argelich said in Munich on Thursday. The plan targets Germany, one of the telecom group’s four priority markets alongside Spain, the United Kingdom and Brazil.
Argelich, who took over from Markus Haas earlier this year, presented the roadmap to a gathering of Spanish media outlets. He said the initiative will focus on expanding the company’s mobile and broadband portfolio, investing in 5G rollout and improving cost efficiency.
The announcement comes as the German telecom sector faces intense competition and speculation about a possible consolidation that could reduce the current four‑operator landscape to three. Analysts have warned that a reshuffle could reshape market dynamics and affect pricing.
Market context
Germany’s four major carriers – Deutsche Telekom, Vodafone, Telefónica and 1&1 – have been under pressure from lower wholesale margins and rising regulatory costs. Recent calls from the European Commission for a more integrated market have fueled rumours of a merger or asset swap among the players.
Telefónica’s new plan seeks to strengthen its position before any structural changes occur. The company aims to increase its subscriber base by 5% annually and boost EBITDA margins through network sharing agreements.