Telenor outlined its key strategic priorities, capital expenditure (capex) plans, and growth roadmap at its Capital Markets Day 2025, highlighting strong commitments to 5G, fiber expansion, and value-driven revenue growth across its Nordic and Asian markets.
Capex Strategy and Network Investments
Telenor plans a gradual reduction in capex as a percentage of sales, expected to fall below 13 percent by 2028-2030. This reflects a shift from large-scale rollout of 5G and fiber networks toward network transformation, modernization, and IT legacy cleanup.
Key investment areas include:
5G Standalone and Advanced Networks: Leading the 5G rollout in Nordic markets, with an upcoming standalone 5G launch in 2026.
Fiber Expansion in Finland and Norway: Prioritizing multi-dwelling units and strategic acquisitions, including the 2025 GlobalConnect B2C fiber division in Norway.
Asian Network Upgrades: Capex growth focused on voice-to-data transition and data network enhancements.
Prudent capital allocation remains central, with a strong focus on expanding return on capital employed (RoCE) and operational efficiency.
5G Leadership and Monetization
Telenor continues to lead 5G infrastructure deployment in the Nordics, achieving mid-to-high 90 percent population coverage. Monetization strategies include speed-tiering and fixed wireless access (FWA) offerings for both B2C and B2B customers.
In Asia, active network modernization ensures improved mobile experience, supporting premium services and long-term revenue growth.
Fiber Rollout and Market Leadership
Fiber remains a strategic priority, particularly in Finland and Norway. Fiber expansion strengthens Telenor’s fixed market position, reduces churn by upgrading customers from coax networks, and drives revenue as copper-based services phase out.
Revenue Outlook
Telenor expects a group service revenue CAGR of 2.5 percent (organic growth), mainly driven by mid-single-digit growth in Nordic markets. Strong ARPU growth is supported by a “more-for-more” pricing strategy, offering differentiated services to premium customers.
While Asian markets face short-term headwinds due to voice-to-data transition, medium-term recovery and growth remain on track.
Subscriber Base and Market Position
Serving approximately 210 million customers, Telenor maintains strong subscriber positions in both Nordic and Asian markets. Key highlights include:
Nordic markets: Stable subscriber base with growth in value-added B2B and B2C services.
Asia: Large mobile subscriber base, including Grameenphone in Bangladesh with 85.6 million subscribers, with ongoing voice-to-data migration.
Market leadership: Strong presence in Norway, Malaysia, Thailand, and Bangladesh.
Strategic Priorities and Operational Excellence
Telenor’s long-term strategy focuses on:
Network Leadership: Expanding world-class mobile connectivity and fiber footprint.
Operational Excellence: Leveraging digitalization, AI-driven automation, cloud migration, and legacy system removal.
Portfolio Optimization: Active management of Asian assets, including divestments of non-core holdings such as Pakistan.
Sustainability Integration: Emissions reduction and digital inclusion initiatives.
New Growth Areas: Expanding IoT and security services beyond traditional telecom offerings.
Financial Discipline: Maintaining disciplined capital allocation, dividend growth, and financial leverage targets.
Baburajan Kizhakedath