Business · Companies · 54 mins ago
Telefónica signals possible price rises in Spain before year-end
Telefónica is considering raising prices for customers in Spain before the end of the year, but it has not announced a decision.
Chief Executive Emilio Gayo said the company believes it can increase prices while keeping customers, based on its experience with earlier rises.
Telefónica operates in Spain under brands including Movistar and O2, and says it has gained customers with both in recent years.
The company said its revenue grew 2.5% in the latest quarter, its strongest growth in 15 years.
Price increases can come with extra benefits, such as faster internet or more mobile data, while promotions may reduce the increase customers ultimately pay.
Telefónica would usually give customers advance notice and apply a change to January bills; Spanish law requires at least one month’s notice.
Telefónica may raise prices in Spain before the end of the year, its chief executive indicated.
Emilio Gayo said the company has been able to raise prices while keeping customer cancellations low.
The company’s usual price increases give customers added benefits, such as faster connections or more mobile data.
Movistar’s revenue grew 2.5% in the latest quarter, its strongest growth in 15 years, to €9.828 billion over nine months.
Last year, Movistar’s prices rose by an average of 4%, excluding its lowest-priced tariffs.
- Who
- Telefónica, whose chief executive is Emilio Gayo.
- What
- The company may raise prices in Spain before the end of the year.
- When
- Before the end of 2026; no specific date was stated.
- Where
- Spain.
- Why
- Gayo said Telefónica’s commercial model allows it to sustain revenue with high average monthly prices and low customer cancellations.
This story does not have two clearly opposing sides.
Movistar raised prices by an average of 4%, excluding its lowest-priced tariffs.
Telefónica presented its results, and Gayo indicated during a call with financial analysts that the company saw room for a price review.
- Possible price review
- Before the end of 2026
- Movistar price increase last year
- 4% on average; lowest-priced tariffs excluded
- Movistar revenue growth
- 2.5% in the latest quarter
- Movistar revenue over nine months
- €9.828 billion
- Movistar average monthly price for convergent packages
- €90.4 at the end of September
What people are saying
Our evolution is based on a strong commercial model and that means we are capable of sustaining revenue with a high monthly price (ARPU) and a low cancellation rate.
Taking this into account, we have been able to maintain that rate while raising prices and we do not see any change in this trend.