Telenor Group

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1. General information about the Telenor Group

The Telenor Group is the leading telecommunications company in Norway and one of the leading mobile operators in the world in terms of subscription. The company is also the biggest provider of television services in the Nordic region, while at the same time being present as the mobile operator in some of the fastest growing markets.

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Headquarters of the Telenor Group are located in Oslo, Norway. The company is listed on the Oslo Stock Exchange. With the end of the third quarter of 2009, the Telenor Group has achieved 172 million of mobile subscriptions worldwide and it currently employs approximately 40.000 people in thirty countries.

As it is widely familiar, Norway, as well as other Scandinavian countries, is known as extremely developed technology market in the beginning of the 21st century, achieving some of the highest penetration rates for new technologies, such as mobile phones and high – speed internet. This actually represents a kind of tradition of the country, having in mind the fact that in 1855 the first telegraph line has been built, followed by the first telephone network connecting the cities of Arendal and Tvederstrand in 1878. Furthermore, Norway was one of the first world countries to introduce mobile telephone system in 1967, which was analogue – based and manually operated.

In order to understand business operations of Telenor, it seems necessary to make a short historical overview of the company’s origins. Beginnings of the Telenor Group date back in 1855 when it was established as a state – operated monopoly, bearing the name Norwegian Telegraph Administration – NTA (also known as Telegrafverket) and offering the provision of telegraph services. In the last decade of the 19th century, development of the Norway’s early telephone network was handled by private companies. Norwegian Telegraph Administration, which was in the ownership of the state, gradually took over the privately owned companies in the market and gained control over the sector. Since then, Telenor gained more than 150 years of telecom experience. In 1969, the NTA changed its name to Televerket, also known as Norwegian Telecommunications. With the purchase of Andebu, the last privately owned company in the sector of telecommunications in 1974, Televerket obtained control of the monopoly of the services of telephone and telecommunications and retained that position till the beginning of the last decade of the 20th century. By the beginning of the 1990s, the company pioneered a new generation of mobile telephone services based on the GSM protocol, which was later accepted and implemented thought Europe. GSM service was launched in 1993 and was followed by the expansion of the company in the field of television broadcasting. This strategic decision provided the company with the opportunity to position itself as the dominant provider of satellite –

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