Deutsche Telekom increases Capex to 12.9 bn euros for 2019

Deutsche Telekom today said it expects Capex of 12.9 billion euros in 2019 as compared with the previous guidance of 12.7 billion euros.
Deutsche Telekom network Europe
The main factor driving this increase in the annual Capex is the accelerated 5G build-out in the United States by T-Mobile, the third largest telecom operator.

T-Mobile CEO John Legere earlier revealed that the company’s 4G LTE network now covers 200 million Americans and is live in nearly 8,300 cities and towns across 48 states and Puerto Rico.

T-Mobile accelerated plans to launch America’s first nationwide 5G network on 600 MHz spectrum. T-Mobile aims to launch 5G network later this year.

T-Mobile is building the foundation for its 5G network across the U.S. in 2019, utilizing both 600 MHz and mmWave spectrum.

T-Mobile on June 28, 2019 introduced its 5G network using mmWave spectrum in six cities including New York and Los Angeles in conjunction with the introduction of our first 5G handset, the Samsung Galaxy S10 5G.

T-Mobile owned a nationwide average of 31 MHz of 600 MHz low band spectrum. It had cleared 231 million POPs, and it expects to clear spectrum covering approximately 275 million POPs by year-end 2019.

T-Mobile deployed 4G on 600 MHz spectrum, using 5G-ready equipment, with 1.4 million square miles already lit up, covering 200 million POPs in nearly 8,300 cities and towns in 48 states and Puerto Rico.

Deutsche Telekom’s Capex

Deutsche Telekom’s Capex before expenses for mobile spectrum remained stable in the third quarter at 3 billion euros. Capex has increased 9.8 percent to 10 billion euros as compared with the first nine months of 2018.

Deutsche Telekom said its revenue grew 4.8 percent in the third quarter of 2019, passing the 20-billion-euro mark in a single quarter for the first time in the company’s history.

Adjusted EBITDA AL rose 5.4 percent to 6.5 billion euros.

Deutsche Telekom CEO Tim Hottges said: “Earnings increased in all areas of the Group in the first nine months of this year – with some of that growth in the double digits. At the same time, we are investing record amounts.”

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