From a growth company a decade ago, the Company has changed into a utility cash cow, in line with the majority of the telecommunications sector. From the peak of nearly CZK 65 bil, the Company's sales have been declining as market saturation and increased competition and regulatory pressure have been taking their toll. The profit in 2012 was 42% down compared to 2008.
Apart from the regulatory pressure and market saturation, Telefónica Czech Republic has been facing an increasing competition pressure. That's not only from its two main competitors on the Czech market, T-Mobile and Vodafone, but also from an increasing number of alternative operators.
As a result, the Company's market share in terms of mobile users has dropped from 50% at the end of 2000 to 36.4% in 2012