“The trend is to do more and more through the internet,” said Luc Tapella, director of Luxembourg’s national regulatory body, the ILR at a Monday press conference.  Photo: Paperjam

“The trend is to do more and more through the internet,” said Luc Tapella, director of Luxembourg’s national regulatory body, the ILR at a Monday press conference.  Photo: Paperjam

The Grand Duchy’s telecom revenue growth slowed to 1% in 2025 as fixed telephony and television declined, even as fibre, gigabit subscriptions and mobile data use kept expanding. The ILR says telecom offers are becoming increasingly difficult to compare, as promotions, internet speeds and mobile data allowances blur the gap between advertised and effective prices.

Luxembourg’s national regulatory body, the Institut Luxembourgeois de Régulation (ILR), announced on Monday that sector revenue growth slowed to 1% in 2025, reaching €633.7 million, after increases of 4.9% in 2024 and 2.3% in 2023. Fixed internet and mobile services remained the market’s growth engines, but their growth was no longer sufficient to offset falling revenue from fixed telephony and television.

“The trend is to do more and more through the internet,” said Luc TapellaLuc Tapella, director of the ILR.

Fixed internet access revenue rose by 5.3% to €187.2 million, while mobile services revenue increased by 1.2% to €320.5 million. But fixed telephony revenue fell by 13.3%, and television service revenue dropped by 2.5%.

The regulator said the slowdown was mainly due to fixed internet access revenue rising less sharply than in previous years, with fixed telephony and television continuing to lose ground.

Fibre’s second test

Elisabeth Weber, from the ILR’s statistics and market-monitoring service, said fibre now covers 86.6% of homes and business premises, while very high-capacity fixed networks, including cable, cover 95.9%. Operators invested €125.3 million in fixed and mobile networks in 2025, equal to 19.8% of their revenue, even though total investment fell by 10.6% from the previous year.

Tapella said investment mattered only if customers moved onto the newer networks. “It is not enough for operators to invest heavily,” he said. “Consumers also have to use it.”

Weber said 70.5% of addresses covered by fibre had an active fibre subscription. Fibre connections rose by 11.4% in 2025 to 203,500, or 72.8% of all fixed internet subscriptions.

Tapella linked the remaining migration to the copper phase-out, with around 40,000 fixed internet connections still running on copper networks ahead of a likely switch-off around 2030. He said the regulator had been working with operators on the transition for several years, including a communication plan for affected customers.

The ILR also provides information through myilr.lu so users can check when copper is expected to be switched off at their address. Tapella said Luxembourg’s investment levels had helped the country avoid some of the coverage gaps visible in larger neighbouring markets, but added that prices needed to be weighed against service quality, coverage and the level of investment behind the networks.

Subscriptions offering at least one gigabit per second reached 78,900 in 2025, up 66.9% in one year, and now account for 28.3% of fixed internet subscriptions. For Tapella, that shift has already changed the market’s baseline. “Today, one gigabit has become standard,” he said.

Calls give way to data

Weber said the number of SIM cards passed one million for the first time in 2025, reaching 1,016,900, up 2% over one year. Postpaid subscriptions continued to dominate, while the share of SIM cards generating more than €50 per month rose from nearly 14% to almost 20%.

She also pointed to a decline in traditional mobile calls despite unlimited-call packages being widespread. The average user made 1 hour and 48 minutes of traditional calls per month in 2025, down by nearly 40 minutes compared with 2021.

The ILR said the figures do not include calls made through internet-based applications such as WhatsApp, Teams or other messaging services. Tapella said the data therefore showed the weakening role of classic telephony, not necessarily a fall in communication overall.

“Through classic telephony, they speak less to each other,” he said. “Whether they speak more or less overall, we do not have figures for that.”

Mobile data use continued to increase, according to ILR figures. Average consumption reached 13.1GB per SIM card per month in 2025, up 5GB since 2021, although growth was less marked than in previous years.

The 5G network also continued to expand. Coverage at speeds above one gigabit per second reached 78.7% of the population in 2025, while covering 29.1% of the territory. The ILR said the difference reflected a rollout focused on areas with the highest population density.

The price behind the price

Neil Wenner, from the ILR’s statistics and market-monitoring service, said faster speeds, larger data packages and temporary promotions were making telecom offers harder to compare. Headline prices do not always reflect the impact of bundled services, equipment costs or the difference between the base price and the average price paid over the life of a contract.

To make those comparisons easier, the ILR launched SmartCompare.lu in November 2024. The independent tool included 294 offers from nine service providers as of 1 May 2026, with operators required to enter their offers and promotions while the regulator monitors the data.

Wenner said SmartCompare listed 40 fixed internet offers from nine providers, with download speeds ranging from 15Mbit/s to 8.5Gbit/s. One-gigabit offers became more common over the past year, while their average base price fell by 6.5%, from €56.67 to €52.99.

The cheapest one-gigabit offer available on 1 May 2026 was priced at €34.90 per month when promotions were included, or €39 before promotions. SmartCompare also showed savings of up to 33% over the contract period for some fixed internet offers.

Mobile offers also include larger data allowances. SmartCompare listed 23 postpaid mobile offers from five providers, with 65.2% including at least 15GB per month. Thirteen offers increased their data allowance over the previous 12 months, while only three increased their base price.

“Consumers are being offered higher mobile data allowances for the same price,” Wenner said.

No universal answer

The comparison tool allows users to filter by municipality, budget, fixed internet speed, mobile data allowance and other criteria.

Tapella said that mattered because the regulator does not identify a universal best operator or offer.

“I cannot tell you today who is the best,” he said. “It depends on people’s needs.”