• Orange posts modest gains on the back of Africa and Middle East growth
• Singtel partners with Bridge Alliance for new telco API exchange
• AT&T reports dip in second-quarter revenues

In today’s industry news roundup: Orange CEO attributes modest revenue growth in the second quarter to “remarkable performance” in its Africa and Middle East operations; Singtel and Bridge Alliance join forces to foster the deployment of new services based on common telco APIs; AT&T’s revenues drop and costs rise in the three months to the end of June, but the US telco finds a silver lining in rising customer numbers; and much more!

The “remarkable performance” of Orange’s operations in Africa and the Middle East continued to contribute to the group’s financial performance in the second quarter, according to group CEO Christel Heydemann who highlighted that the company “has had a very good first half [of 2024] with solid results”. Group revenues in the second quarter were up 0.9% year on year to €9.9bn, mainly driven by a 10.3% increase in revenues at its Africa and Middle East division to €1.9bn. A modest growth in revenues of 0.3% to €4.4bn was reported for its home market of France, due to growth in its retail services. However, for its other European markets the telco group posted a 2.2% year-on-year decline to €1.7bn, which it attributed to a reduction in low-margin activities, but it added that this was partially offset by growth in its convergent services – a main pillar in the company’s strategy. The company recorded a total of 9.1 million convergent customers in Europe, including France, up 1.4% year on year. The group ended the quarter with a total of 245.9 million mobile service accesses globally (up 7.3%), while its fixed services customers stood at 38.9 million (down 3.3%). Orange Business’ financial performance continued its declining trajectory in the second quarter, with revenues down 1.4% to €1.98bn (compared to a decline of 0.3% in the segment in the first quarter of the year). The company explained that this was due to a decline in fixed-only revenues, but added that it was partially offset by growth in IT and integration services sales, led by Orange Cyberdefense, which posted the highest revenue increase in the segment. Alongside these results, the telco giant announced it has agreed initial, non-binding terms with Vodafone Spain for the creation of a new fibre optic joint venture in its Spanish market, where the French company now operates under the MásOrange brand, following the completion of its €18.6bn merger with MásMóvil in March.

Singtel has joined forces with Bridge Alliance, a consortium of 34 member operators globally, in an bid to boost application programming interface (API) exposure and accelerate the deployment of new services. In a statement, the Singaporean operator noted that its all-in-one platform for 5G multi-access edge computing (MEC) and cloud orchestration, Paragon, will power a new telco API exchange created by the alliance. Dubbed Bridge Alliance API Exchange (BAEx), the solution will use Paragon to “aggregate its member operators’ network authentication, user verification and network-quality APIs”. According to the telco, the exchange will allow enterprises and developers to streamline the deployment of new services on networks operated by Bridge Alliance members by accessing a common API framework that provides “secure, consistent and on-demand access to telco network capabilities across multiple regions.” Singtel added that the exchange will result in reduced complexity and friction for enterprise customers, developers and solution providers through “its unified integration, simplified commercial framework and common operational support model.” The APIs on offer will support a number of enterprise use cases, including for fintech, e-commerce and over-the-top (OTT) providers, starting with network authentication, user verification and location-tracking functions. Find out more.

AT&T has reported a slight decrease in revenues for the second quarter, down 0.4% year on year to $29.8bn, due to a decline in sales in its Business Wireline service unit, as well as lower sales volumes in its Mobility equipment segment. The US telco giant’s net income plunged 17.1% to $3.9bn compared with $4.8bn in the same period of 2023. Its operating expenses (opex) were $500m higher in the period, to $24bn, due to the company’s Open RAN modernisation efforts, including “restructuring costs and accelerated depreciation on wireless network equipment, and higher depreciation related to our continued fibre and 5G investment”. On the bright side, AT&T reported a 3.4% year-on-year increase in Mobility service revenue to $16.3bn, as well as new customer additions for its postpaid phone and fibre offerings. The operator now also passes 27.8 million premises with its fibre network. “For the past four years, we’ve delivered consistent, positive results that have repositioned AT&T. Our solid performance this quarter demonstrates the durable benefits of our investment-led strategy,” said John Stankey, AT&T CEO. He added that the telco is “leading the way” in converged connectivity, as customers “increasingly seek one provider who can seamlessly connect them in their home, at work and on the go. This is proving to be a winning strategy.” Read more.

Telefónica and local Spanish IT systems integrator Warpcom have collaborated with Fortinet and Quantum Xchange to develop a quantum computing-based security architecture, incorporating ETSI standards, to protect against future sophisticated cyberattacks. The solution, which is in the proof-of-concept stage, can be deployed on-premise or within cloud environments and is designed to be used in any type of network infrastructure, including SD-WAN, fibre or 5G. It will now be tested in a production environment. “Telefónica wanted to be ahead of the curve and come up with an answer that would allow organisations to prepare for quantum-safe communications today,” said Patricia Díez Muñoz, global security director for networks and systems at Telefónica. “We know that, in the near future, companies that don’t protect themselves could be at risk of cyberattacks that could compromise their data and systems.” Carl Windsor, CISO at Fortinet, explained the need for a future-proofed solution: “This initiative shows how the existential threat to current cryptographic systems can be mitigated, allowing customers to be safe in the knowledge that their data is protected from harvest-now, decrypt-later attacks.

US operator T-Mobile has launched the second generation of its SyncUP KIDS watch, which is being positioned as an “entry-level gadget to stay connected” with parents, particularly for younger children that T-Mobile says “aren’t yet ready for a smartphone”. The watch, which is free with a subscription plan, features real-time location-tracking, geo-fenced boundary alerts and a dedicated help button. The new model adds dual cameras for video chat with approved contacts, Bluetooth and an LED flashlight. “Parenting in today’s digital, mobile age is fraught with challenges,” said Clint Patterson, SVP of product marketing and prepaid CMO at T-Mobile. “We created SyncUP KIDS smartwatch to help parents with young kids navigate those challenges.” Read more.

- The staff, TelecomTV