The move is part of an attempt to compete more effectively against the former Spanish incumbent Telefonica SA, which is able to offer both a mobile, internet, and fixed-line service to its customer base in Spain.
Vodafone Spain is targeting its new service, known locally as Oficina Vodafone, at the SME market as well as the self-employed. The idea is that customers will be able to receive incoming calls made to their fixed-line number on their mobile handsets within a specific area. Calls made in this way will be charged at usual fixed-line rates, but will introduce a welcome degree of flexibility for the business user, allowing hot desking for example. For outgoing calls, Vodafone subscribers will again be charged usual fixed-line rates, providing they are within their designated area.
The cost of the service is expected to range from as little as 6 euros ($7.64) a month, up to 35 euros ($44.57) per month, depending on the range of services required.
There are three main mobile operators in Spain. Telefonica’s Movistar is the dominant operator with an approximate 65% market share. Second place is occupied by Vodafone Spain, which was purchased from Airtel in 2002 and is aggressively trying to expand market share. Third is Amena, which was acquired by France Telecom SA in 2005 and is soon to be rebranded Orange Espana. It is growing fast but does not have as comprehensive national coverage as the other two.
