Press Releases

Budapest, June 16, 2000

As part of its preparation for market liberalization MATÁV launched its wholesale project a year ago to prepare the entry of MATÁV to the wholesale market. As a result, the organization of the Matáv Domestic Carrier Business Unit was restructured. From January 15, 2000 the business unit was converted into a one-stop wholesale sales channel, that is, the Domestic Carrier Business unit serves wholesale partners with wholesale and retail telecom services, including procurement and sales activities.

It is only in the telecom industry that wholesale trading activity - in the course of which companies provide wholesale products to their own competitors as well - is considered to be a new feature. In other industries (e.g. auto manufacturing) it is part of normal operation. MATÁV defines wholesale activities on the telecom market as follows: ?Telecom service providers sell telecom services in the frame of their core activities on a commercial basis to other companies providing other types of telecom services."

Since MATÁV considers its wholesale customers as important business partners, the processes of customer service are being reconsidered to provide more efficient services to these customers. Earlier MATÁV served its wholesale partners having concession rights (or its partner providers, as they used to be called earlier) in two stops: retail services were provided by the Business Communications Business Unit while services with regulated prices were provided by the Domestic Carrier Business Unit of MATÁV. Services for partners not having concession rights were provided exclusively by the Business Communications Business Unit. It was a potential source of conflict of interests that the Business Communications Business Unit had to provide services to its own competitors.

In the future MATÁV will provide one-stop services to its wholesale partners through the Domestic Carrier Business Unit. This means that the Domestic Carrier Business Unit will provide partners with wholesale and retail telecom services, including procurement and sales activities. To ensure one-stop contacts, the wholesale partners will be served by dedicated account managers who will be assisted by sales support and technical support managers.

The efficiency of customer care will be improved as a result of this restructuring and the introduction of one-stop service, the conflict of interests mentioned above will disappear, and MATÁV can ensure treatment of its subsidiaries belonging to its wholesale partners on an equal footing with its other partners.