KPN eyes broadband and VoIP markets

2 Mar 2005

The Dutch telco KPN says it is targeting broadband and voice-over-IP services as future growth areas. The company says that in the short term investments in these areas will result in lower profits but will help boost its market position. Telecompaper reports that the telco is aiming to upgrade existing broadband internet services to incorporate ADSL2+ technology, which provides maximum download speeds of 25Mbps. The upgrade is due to be completed by the end of the year, while new services such as VoIP and video-on-demand over ADSL will also be rolled out during 2005.

KPN yesterday reported a 6.3% fall in its full-year operational revenues, from EUR12.91 billion in 2003 to EUR12.1 billion in 2004, with net profit down from EUR2.73 billion to EUR1.51 billion. The firm had almost 1.4 million ADSL customers at the end of 2004.



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