Fixed operators

Volumes growing at about 10% each year while, overall, revenues mark time.

Growth in Volume and Revenue

	volume - year to Mar 97	volume growth in last year	revenue - year to Mar 97	5-year compound growth rate
local calls	86.3 bn mins	9%	£2.20 bn	0.7%
national calls	39.7 bn mins	7%	£0.67 bn	-4.4%
international calls	4.5 bn mins	12%	£1.96 bn	4.5%
calls to mobiles	2.8 bn mins	18%	£0.67 bn	25.7%
other calls	5.0 bn mins	73%*	£1.21 bn	5.3%
all calls	138.4 bn mins	10%	£7.52 bn	1.9%
line rentals and connections	30.7 m at year-end	4%	£3.18 bn	6.6%
Total			£10.7 bn	3.2%
* adjusted to reflect a like-for-like basis of comparison (data for some 'other' calls was not split out before 96/97).

ISDN grew from 659,000 channels to 968,000 channels (47%) in the year to March 97.

VPN & centrex grew from 247,000 channels to 396,000 channels (60%).

Advanced services subscriptions have shown massive growth in a very short time - e.g. 755,000 customers for 'Call Minder' (network voicemail), 1,182,000 customers for caller display and 422,000 for 'call waiting' notification.

BT's MarketShares

% of revenue	residential	business
local calls	91	87
national calls	89	71
international calls	78	48
calls to mobiles	89	73
other calls	93	84
all calls	88	72
line rentals and connections	92	92
% of lines	residential	business
lines at end of year	90	91

In the £728 million market for international business calls, BT's main rivals are:

Mercury (21%) and Worldcom/MFS (16%)

Interconnect

Interconnect becomes a £2 bn business.

	received		paid
	billion mins	revenue (£m)	billion mins	revenue (£m)
UK fixed - inland	35.6	421	37.4	479
UK fixed - outgoing international	1.3	273	1.0	217
UK fixed - cellular	5.5	77	3.5	570
Overseas - incoming international	4.5	785	4.8	1,021
Total	46.9	1,556	46.8	2,287

BT is responsible for 61% of revenues received and 64% of payments.

Cellular

Both one2one and Orange continue to gain market share, while Vodafone consolidates its position as the preferred network for high usage customers (e.g. it carries 76% of all roaming-while-abroad minutes). Statistics for one2one are distorted by its free calls strategy.

	Total	Vodafone	Cellnet	One2one	Orange
calls (bn mins)	6.81	2.24	1.69	2.13	0.74
rev - calls + rentals (£ bn)	2.67	1.24	0.99	0.17	0.27
av. revenue per minute (p)	39	55	59	8	36
subscrubers (mid-year figure; m)	6.42	2.66	2.56	0.52	0.69
av minutes per subscriber	1061	842	660	4096	1072
av revenue per subscriber (£)	415	466	387	327	391

Leased Lines

Despite increased availability of attractively priced packet-switched alternatives for private networks, the UK continues to display strong growth in leased lines, from an already high base.

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