Heavy mobile use.

The penetration rate of mobile services in Slovakia has exceeded 100% for some time in terms of number of SIM cards per number of inhabitants. Some 86% of the population have a mobile phone, and one tenth have two or more. The country's 5.4 million users slightly exceed the total population.

It's been a fast-track route to sophisticated mobile use, considering that in 1999 the mobile phone penetration rate was only at about 10%.

Slovak customers of all age categories - from children to pensioners - use mobile services delivered by Slovakia's three mobile operators - Orange, T-Mobile and Telefónica O2.

Their offerings are extensive, ranging from mobile telephony, data services and Internet access to high tech services; mobile phones have morphed into ingenious, multifunctional gadgets and Slovaks expect to have the latest in their hands.

Mobile service penetration rose to 101.2% at the end of April 2009, up 2.5% from the end of December 2007. The three mobile operators reported 139,000 new active customers by the end of April.

Orange Slovensko, partially owned by the government, kept its leading position in April with 2.9 million active customers and 53.5% of market share, while T-Mobile Slovensko had 2.2 million (or 40.5%) and the newest entrant, Telefónica O2, had 325,000 active customers (or 6%).

Total revenues of Orange increased by 3.6% year-on-year in 2008 to Euros833 million and T-Mobile reported the same growth rate, with total revenues of Euros591.4 million. Total revenues at Telefónica O2 jumped by a whopping 138% to hit Euros49.7 million last year.

All three mobile operators reported an increase in active customers. Orange extended its number of customers by 63,000 and Telefónica O2 recruited 51,000 new active customers. T-Mobile followed with the lowest increase of 25,000.

SIM cards for mobile phones are also used for other purposes, such as to operate GSM gates, mobile Internet services and telemetry, so the number of SIM cards (with a penetration over 100%) is actually higher than the number of active mobile phones.

Growing Slovakian mobile market

Orange sees great potential in mobile data and other services provided via its optic network. It considers its mobile 3G Internet service to be an alternative to fixed-line access, which is a significant part of its core business.

T-Mobile believes that mobile broadband Internet will play a decisive role with regard to further growth in the Slovak market.

O2, as a new entrant, has focused on students and mothers because these groups seem prepared to be flexible in making service changes. Wives and mothers are key figures in deciding how household budgets will be allocated.

Such phones are always going to need increasingly better designed electronic supply products such as batteries, travel and plug-in chargers, as well as cordless batteries.

They'll also require audio products such as headsets, car kits and accessories, and Bluetooth holders and connectors.

As backup, service providers would expect to equip phones with data transmission products, including serial, USB and infra cables for all types of phones, while marketing departments would look for approved telephone cases in leather or other materials, particularly for sporting and business activities.

Other necessary accessories feature housings, phone holders, hands free accessories, car antennas, toolkits, telephone ornaments, stickers and SIM adapters.

from Filip Korinek, Prague Consultant