TELECOMS MARKET

In common with other Scandinavian countries, Norway has a sophisticated telecom market with high broadband and mobile penetration rates. Although Norway is not a member of the European Union, its telecoms sector is synchronised with relevant EC legislation. The mobile market is a duopoly between the network operators Telenor Mobile and TeliaSonera’s NetCom, supplemented by a small number of MVNOs. Telenor is the dominant operator in all sectors, though there is increasing competition from new entrants. Telia increased its market share by acquiring the operations of Tele2 and in April 2017 it secured regulatory approval for its acquisition of the smaller mobile operator Phonero. The Norwegian Competition Authority (NCA) is the agency in charge of regulating competition in the Norwegian telecoms market.

BUSINESS ENVIRONMENT

The Norwegian economy is a prosperous mixed economy, with a very active private sector, a large state sector, and an extensive social safety net. The government controls key areas, such as the vital petroleum sector, through extensive regulation and large-scale state-majority-owned enterprises. The country is richly endowed with natural resources – petroleum, hydropower, fish, forests, and minerals – and is highly dependent on the petroleum sector, which accounts for the largest portion of export revenue and about 30% of government revenue. Norway opted to stay out of the EU during a referendum in November 1994; nonetheless, as a member of the European Economic Area, it contributes sizably to the EU budget. After solid GDP growth in 2004-07, the economy slowed in 2008, and contracted in 2009, before returning to modest, positive growth from 2010 to 2017. The Norwegian economy has been adjusting to lower energy prices, as demonstrated by growth in labor force participation and employment in 2017. Gross Domestic Product of Norway grew 1.4% in 2018 compared to the previous year, driven largely by domestic demand, which has been boosted by the rebound in the labor market and supportive fiscal policies. Economic growth is expected to remain constant or improve slightly in the next few years.

RELEVANT INTERNET EXCHANGE POINTS

• FIXO – Free Internet eXchange Oslo
• NIX – Norwegian Internet Exchange