Competition easing in Spain's cut-throat telco market, Telefonica says

PARIS, Nov 18 (Reuters) - The heavy discounts seen in Spain’s telecoms market have become less generous in the fourth quarter, Telefonica’s chief operating officer said on Wednesday, in a sign industry margins may improve in the final months of the year.

The country’s biggest telecoms operator, which posted a loss in the third quarter, has lost 40% of its market value since the start of the year and has pledged to return to revenue growth in 2022.

“We are seeing some more constructive commercial dynamics and cooling down of the market,” Telefonica Chief Operating Officer Angel Vila told the Morgan Stanley European Technology, Media and Telecom conference in a virtual meeting.

“Promotions are basically half what we saw in the third quarter ... Two of our competitors have been increasing prices,” he said, adding the rate at which broadband customers were switching to another offer was lower. (Reporting by Mathieu Rosemain; Editing by Mark Potter)