JPM sees Italian telecom sector showing stability in mobile and fixed pricing

Published 21/08/2025, 13:00
© Reuters

Investing.coom -- J.P. Morgan said the Italian telecommunications sector is showing signs of stability in both mobile and fixed pricing, following several quarters of pressure from intense competition, in a note dated Thursday.

In its latest research note, the bank pointed to broadly stable mobile pricing across the main operators. Telecom Italia (BIT:TLIT) (TIM) and Vodafone (NASDAQ:VOD) have maintained their positions as premium providers, while Fastweb and WindTre recently raised prices. 

TIM repriced about 1.7 million mobile lines during the first half of 2025, which contributed to growth in average revenue per user (ARPU) and came alongside a decline in churn. 

Regulatory data also showed that while Iliad continues to gain customers, its ability to capture new subscribers has slowed, with its net recipient percentage trending lower since 2023.

In the fixed-line segment, TIM and Vodafone increased front-book prices, while Iliad lowered its price, positioning itself as the cheapest option among major operators. 

TIM repriced roughly 4 million fixed lines in the first half of the year, driving ARPU growth of 6.6% year over year in the second quarter of 2025. 

However, despite steady fiber-to-the-home (FTTH) net additions, TIM continued to record consumer fixed-line customer losses, mainly in legacy services. 

Iliad, which cut its 5Gbps plan price to €23.7 per month, has kept expanding its subscriber base at the expense of TIM and Fastweb.

J.P. Morgan said the pricing environment in Italy has become more stable, with lower customer churn in both mobile and fixed markets. 

The brokerage noted these trends make it “incrementally more positive” on the Italian telecom market.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.