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Spanish telecoms are shifting competition from retail to wholesale network leasing as residential margins stagnate

Executive summary: Telefónica, MasOrange and Vodafone are seeking to lease their networks to other operators in the wholesale market after experiencing stagnation and low margins in the residential segment. This shift could reshape competition in Spain's telecom market, affecting MVNOs, wholesale pricing and operator revenues.

Who is involved: Telefónica, MasOrange, Vodafone, Spanish MVNOs, and regulators such as the CNMC.

Likely next: Operators will negotiate wholesale access agreements and regulators may review compliance with EU telecoms wholesale access rules.

Telefónica, MasOrange and Vodafone have begun offering their network infrastructure to other operators in the wholesale market, seeking to offset weak residential revenues. The move reflects a broader trend of European telcos looking for new income streams amid market saturation. It could affect wholesale access prices, MVNO business models and draw regulatory scrutiny under EU telecoms rules.

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