Bouygues Télécom says its small size threatens its future

12 Apr 2006

Bouygues Télécom, the mobile arm of French construction to telecoms group Bouygues, has informed the European Commission that its lack of critical mass could threaten its long-term existence and suggests that selling the unit could be the best way forward. According to French daily Les Echos, the statement was contained in a document submitted to the EU in the hope of receiving lighter regulatory treatment. ‘Its market share…is insufficient to guarantee its long-term presence in the market. It risks seeing its market share diminish further, which would definitively marginalise it,’ writes Les Echos quoting the document. Bouygues Télécom goes on to say that its revenues are too small to repay its debts and to fulfil future investment spending on new technologies to stay competitive with Orange and SFR.

France, Bouygues Telecom, Orange France, SFR