Meo reaches “critical mass”
11.29 Europe/London, July 25, 2011 By Julian Clover

Lower per customer programming costs associated with subscriber levels reaching a critical mass have given a further boost to Portugal Telecom’s IPTV service Meo.

The Wireline business that contains the IPTV operation increased EBITDA by 1.1% year-on-year, its best performance in 19 quarters. Portugal Telecom says Meo is the key driver in the turnaround of the wireline business that has previously suffered from the decline in fixed line telephony, and still lost 4,000 in the second quarter.

Meo added another 44,000 subscribers on the quarter to reach 919,000. The installed base represents 35.5% of traffic generating lines and 88.4% of the fixed broadband customer base.