Market analysis procedure

hu

In accordance with the European Union’s rules on electronic communications stated in the regulatory framework implemented by the Electronic Communications Act, NMHH acts as the regulatory authority of the market of electronic communications. The objective of the market analysis procedure is to ensure that ex ante regulatory interventions in market processes (i.e. interventions not triggered by breaches of the law) are preceded by appropriately defined procedures that include all the necessary analyses and consultations.

The market analysis procedure falls under the competence of the President of NMHH, comprises several interconnected phases and is an official administrative procedure in which the President has wide discretion. The Electronic Communications Act stipulates for the official market analysis procedure certain special procedural rules, which are based on the European Union regulatory framework. The President is expected to conduct regular market analysis procedures at least once every 5 years; if, however, the NMHH is informed of a circumstance it considers significant for evaluating the competition on a relevant market, the President may launch an unscheduled market analysis procedure on the relevant market(s) with immediate effect.

By analyzing and evaluating the data supplied to the President in market analysis reports and other information (thus especially statistical and market survey data as well as facts officially known to NMHH) and also taking into account Commission Recommendation of 18 December 2020 on the relevant product and service markets within the electronic communications sector susceptible to ex ante regulation in accordance with Directive 2018/1972/EU of the European Parliament and of the Council establishing the European Electronic Communications Code (2020/2245/EU), the President identifies the markets of electronic communications services where particular characteristics justify sector-specific regulation, analyzes the competition existing on such markets and also examines the competitive situation on the relevant market of services.

If the market analysis reveals that competition on a market is not efficient enough, the President identifies the significant market power (SMP) operators on the particular market and imposes on the SMP operator or operators at least one asymmetrical obligation that is justified by, and proportionate to, the identified obstacles to competition, or maintains or amends the obligations imposed on the operators in the past.

Beyond the decision support activities necessary for a comprehensive examination of the facts, the President is also responsible for discussing the draft decision made as a result of the market analysis procedure with the stakeholders and with the European Commission as well, given the forward looking nature and the competition impacts of such market analysis decisions.

Market research

NMHH regularly monitors the Hungarian telecommunication (electronic communication) market in order to gain a more thorough understanding of consumers’ usage habits, opinions and potential problems.

The Authority conducts regular scheduled analyses as well as one-off research into specific topics. These surveys are always on a large representative sample from across the entire country, enabling NMHH to produce even better and more reliable estimates concerning the phenomena on the telecommunications market, the differences between different consumer groups and the changes over time.

Today, the Authority produces three standard surveys every year, consistently using the same methodology; all of these surveys are carried out in the last quarter of the year. Each survey looks into the spread of new technologies and new usage habits, the parallel survival or gradual phasing out of more conventional solutions, their impacts on our lifestyles and the possible motivations for consumer habits and decisions.

Of NMHH’s regular standard surveys, one looks at business subscribers, the other one examines Hungarian households, and the third one surveys the internet user population living in Hungary. The studies written on the basis of the annual surveys are published by the Authority on this site in the spring of the following year.

NMHH’s thematic surveys include, for example, our surveys preparing and laying the groundwork for the digital switchover, as well as our research into consumer awareness, accessible communication and children’s understanding of the media and telecommunications.

If you have any questions about our surveys and research, do not hesitate to contact us by e-mail at info@nmhh.hu.

Market reports

NMHH regularly monitors the changes on the supply side of communication markets and, as part of this process, publishes two flash reports every month based on figures from the most important communications providers.

The Landline Flash Report provides a comprehensive view of the market of landline voice services based on voice channel number and traffic data, explaining the reach of the different technologies and any changes in the same, describing the changes in call durations, and enabling the monitoring of shares in the market of landline telephone services on the basis of voice channel numbers.

The other part of the Landline Flash Report provides information about the number of subscriptions on the market of fixed internet services, separately for the different technologies. The Report helps the monitoring of the spread of the various technologies and the changes in the market shares of individual providers.

The Television Flash Report contains periodic information about the market of pay broadcasting services. It helps the monitoring, in a breakdown by individual technologies, of the changes in the number of subscriptions and the degree of digitalization. In addition, it offers a view of the market shares of providers, also in a breakdown by technologies.