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| businesses      =  
| businesses      =  
| products        =  
| products        =  
| employees      =  161,390 <ref>
| employees      =  161,390<ref>
[http://www.orange.com/en_EN/finance/invest-analysts/consresults/att00018547/consolidatedfinancialstatements2010Francetelecom.pdf Consolidated Financial Statements]</ref>
[http://www.orange.com/en_EN/finance/invest-analysts/consresults/att00018547/consolidatedfinancialstatements2010Francetelecom.pdf Consolidated Financial Statements]</ref>
| revenue        = €45.50 billion AS OF 2010 <ref>
| revenue        = €45.50 billion AS OF 2010<ref>
[http://www.orange.com/en_EN/finance/invest-analysts/consresults/att00018547/consolidatedfinancialstatements2010Francetelecom.pdf Consolidated Financial Statements]</ref>
[http://www.orange.com/en_EN/finance/invest-analysts/consresults/att00018547/consolidatedfinancialstatements2010Francetelecom.pdf Consolidated Financial Statements]</ref>
| website        = [http://www.francetelecom.com/en_EN/ www.francetelecom.com]
| website        = [http://www.francetelecom.com/en_EN/ www.francetelecom.com]
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| twitter        = orange
| twitter        = orange
| keypeople      = [[Stéphane Richard]], Chairman & CEO
| keypeople      = [[Stéphane Richard]], Chairman & CEO
}}
}}
 
'''France Telecom''' is the primary telecommunications operator in France, with 221 million customers as of 2011. The company's corporate brand is Orange, the main mobile communications and Internet Provider in Europe. France Telecom trades in Paris and New York Stock Exchanges under the ticker symbol FTE. It operates in Asia Pacific, Europe, France, Latin America, Middle East & Africa, North America, Russia, Spain, Switzerland and United Kingdom. France Telecom employs 169,000 million workers worldwide.<ref>[http://www.orange.com/en_EN/group/ France Telecom Orange Group]</ref>
'''France Telecom'''is the primary telecommunications operator in France with 221 million customers as of 2011. Orange, the company's corporate brand is Orange, the main mobile communications and internet provider in Europe. France Telecom trades in Paris and New York Stock Exchange under the ticker symbol FTE. It operates in Asia Pacific, Europe, France, Latin America, Middle East & Africa, North America, Russia, Spain, Switzerland and United Kingdom. France Telecom employs 169,000 million workers worldwide. Its' headquarters is located in Paris, France. [[Stéphane Richard]] is the current Chairman & CEO of the company.<ref>[http://www.orange.com/en_EN/group/ France Telecom Orange Group]</ref>


==Background==
==Background==
France Telecom was established as Direction Générale des Télécommunications from 1889 until 1988 as part of the French Ministry of Posts and Telecommunications. Since the invention of telegraphy and telephony, the French government monopolized the telecommunications services in the country. In 1987, The European Commission initiated the liberalization of the telecommunications market in European countries and published the ''“Green Paper on the Development of the Common Market for Telecommunications Services and Equipment.”'' On July 2, 1990, the French law no. 90-568 was enacted to form France Telecom as “société anonyme” (French Corporation), a public service provider governed by corporate law in accordance with the French Postal and Telecommunication Code. In 1991, French Telecom became an independent operator under public law, which means it is still controlled  by the government. In 1995, the Direction Général des Postes et Télécommunications (DGPT) issued public consultation document to open competition in the telecommunications industry. In 1996, the French Parliament enacted the Experimental Licensing Bill and eventually on December 31, 1996, French Telecom was incorporated and became privatized in 1997. The following year, the telecommunications industry in France became open to competition. <ref>
France Telecom was established as Direction Générale des Télécommunications in 1889 as part of the French Ministry of Posts and Telecommunications, which it remained as  until 1988. After the invention of telegraphy and telephony, the French government monopolized the country's telecommunications services, but in 1987, the [[European Commission]] initiated the liberalization of the telecommunications market in European countries, publishing the ''“Green Paper on the Development of the Common Market for Telecommunications Services and Equipment.”'' On July 2, 1990, the French law no. 90-568 was enacted, which formed France Telecom as a “société anonyme” (French Corporation), a public service provider governed by corporate law in accordance with the French Postal and Telecommunication Code. In 1991, French Telecom became an independent operator under public law, still under control of the government. In 1995, the Direction Général des Postes et Télécommunications (DGPT) issued a public consultation document to open competition in the telecommunications industry. In 1996, the French Parliament enacted the Experimental Licensing Bill and eventually, on December 31, 1996, French Telecom was incorporated, and then privatized in 1997. The following year, the telecommunications industry in France became open to competition.<ref>
[http://www.oecd.org/dataoecd/36/35/32482712.pdf Regulatory Reform in France, Regulatory Reform in the Telecommunications Sector]</ref>  
[http://www.oecd.org/dataoecd/36/35/32482712.pdf Regulatory Reform in France, Regulatory Reform in the Telecommunications Sector]</ref>  
<ref>[http://www.orange.com/en_EN/group/governance/att00008709/Bylawsupdated19.01.2011.pdf France Telecom Bylaws]</ref>  
<ref>[http://www.orange.com/en_EN/group/governance/att00008709/Bylawsupdated19.01.2011.pdf France Telecom Bylaws]</ref>  
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==Business Portfolio==
==Business Portfolio==
France Telecom's business is focused on providing the following services:<ref>[http://www.orange-business.com/en/mnc2/about-us/who-we-are/ About France Telecom]</ref>
France Telecom's business is focused on providing the following services:
* Local and international telephony
* Local and international telephony
* Wireless
* Wireless
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* Multimedia
* Multimedia
* Data  
* Data  
* Broadcast and cable TV service
* Broadcast and cable TV service<ref>[http://www.orange-business.com/en/mnc2/about-us/who-we-are/ About France Telecom]</ref>
 
==Business Segments==
France Telecom has seven geographical segments which include:
# France
# Spain
# Poland
# UK
# Rest of World
# Enterprise
# International Carriers & Shared Services


A complete list of the France Telecom's subsidiary companies under its' business segments is available [http://www.orange.com/en_EN/finance/documentation/att00013350/comptesconsolids_eng_miseenligne404042011.pdf here]
A complete list of the France Telecom's subsidiary companies under its' business segments is available [http://www.orange.com/en_EN/finance/documentation/att00013350/comptesconsolids_eng_miseenligne404042011.pdf here].


==Orange Business Services Brand==
===Orange Business Services Brand===
In 2000, France Telecom purchased Orange, a mobile phone operator based in United Kingdom owned by Vodafone AirTouch for 40.3 billion dollars. The transaction allowed the company to combine its cellular business with Orange to create the second largest mobile phone company in Europe. A major move for France Telecom to position the company as the European leader and global player in the telecommunications industry. <ref>[http://money.cnn.com/2000/05/30/deals/orange/ France Telecom to form Europe's No. 2 mobile firm after buying UK player]</ref> In 2001, France Telecom formed the Orange Telecom Plc. and sold 15% of its shares during the Initial Public Public Offering.<ref>[http://www.prweb.com/releases/Orange/Tuesday/prweb2362604.htm Orange Tuesday happy birthday to Orange Telecom which celebrates its fifteenth irthday with an unusual twist - cupcakes]</ref> In 2003, the company bought back the 13 percent minority shares it does not own worth $ 7.8 billion dollars. This decision was prompted by a bill passed by the French government granting France Telecom the option to buy out the minority shareholders of Orange and Wanadoo, the company's internet business division.<ref>[http://edition.cnn.com/2003/BUSINESS/09/01/france.telecom.reut/ France Telecom in Orange buyout]</ref> At present, Orange has more than 144 million customers. In 2007, Milward Brown Optimor ranked the company as one of the world's most powerful brands.
In 2000, France Telecom purchased Orange, a mobile phone operator owned by Vodafone AirTouch and based in United Kingdom, for 40.3 billion dollars. The transaction allowed the company to combine its cellular business with Orange to create the second largest mobile phone company in Europe.<ref>[http://money.cnn.com/2000/05/30/deals/orange/ France Telecom to form Europe's No. 2 mobile firm after buying UK player]</ref> In 2001, France Telecom formed the Orange Telecom Plc., selling 15% of its shares during the Initial Public Public Offering.<ref>[http://www.prweb.com/releases/Orange/Tuesday/prweb2362604.htm Orange Tuesday happy birthday to Orange Telecom which celebrates its fifteenth irthday with an unusual twist - cupcakes]</ref> In 2003, the company bought back the 13 percent minority shares, which had been worth $7.8 billion dollars. This decision was prompted by a bill passed by the French government granting France Telecom the option to buy out the minority shareholders of Orange and Wanadoo, the company's internet business division.<ref>[http://edition.cnn.com/2003/BUSINESS/09/01/france.telecom.reut/ France Telecom in Orange buyout]</ref> At present, Orange has more than 144 million customers. In 2007, Milward Brown Optimor ranked the company as one of the world's most powerful brands.


==Wanadoo==
===Wanadoo===
In 1996, France Telecom entered the internet business by launching Wanadoo, a wholly-owned subsidiary to serve as internet service provider (ISP). The company managed the PagesJaunes, an online yellow pages. In 1997, the company partnered with  [[Microsoft]]'s MSN to compete with AOL in  France. When MSN decided to exit the French market in 1998, Wanadoo absorbed its subscribers. This made the company the leading internet service provider in France.<ref>[http://www.referenceforbusiness.com/history2/99/Wanadoo-S-A.html Reference for Business: Wanadoo Company Profile]</ref> The following year, the company purchased Alapage.com, an online retail store selling books, videos and music. The company expanded in Spain, Netherlands and Belgium. In 2000, the company was listed on the Euronext Paris Stock Exchange. During the same year, the company also acquired Marcopoly, a home appliance and electronics company. The following year, the company acquired Freeserve, an ISP based in United Kingdom. Freeserve was re-launched as Wanadoo, UK.<ref>[http://www.telegraph.co.uk/finance/4474657/French-Wanadoo-buys-Freeserve.html French Wanadoo Buys Freeserve]</ref> This was succeeded by its acquisition of EresMas, an ISP  and portal in Spain.<ref>
In 1996, France Telecom entered the internet business by launching Wanadoo, a wholly-owned subsidiary to serve as internet service provider (ISP). The company managed the PagesJaunes, an online yellow pages. In 1997, the company partnered with  [[Microsoft]]'s MSN to compete with AOL in  France. When MSN decided to exit the French market in 1998, Wanadoo absorbed its subscribers. This made the company the leading internet service provider in France.<ref>[http://www.referenceforbusiness.com/history2/99/Wanadoo-S-A.html Reference for Business: Wanadoo Company Profile]</ref> The following year, the company purchased Alapage.com, an online retail store selling books, videos and music. The company expanded in Spain, Netherlands and Belgium. In 2000, the company was listed on the Euronext Paris Stock Exchange. During the same year, the company also acquired Marcopoly, a home appliance and electronics company. The following year, the company acquired Freeserve, an ISP based in United Kingdom. Freeserve was re-launched as Wanadoo, UK.<ref>[http://www.telegraph.co.uk/finance/4474657/French-Wanadoo-buys-Freeserve.html French Wanadoo Buys Freeserve]</ref> This was succeeded by its acquisition of EresMas, an ISP  and portal in Spain.<ref>
[http://www.allbusiness.com/technology/internet-technology/218781-1.html Wanadoo acquires EresMas to become 2nd largest ISP in Europe]</ref>
[http://www.allbusiness.com/technology/internet-technology/218781-1.html Wanadoo acquires EresMas to become 2nd largest ISP in Europe]</ref>

Revision as of 23:08, 17 January 2012


Type: Public Limited
Industry: Telecommunications
Founded: 1988
Headquarters: 15th arrondissement, Paris
Country: France
Employees: 161,390[1]
Revenue: €45.50 billion AS OF 2010[2]
Website: www.francetelecom.com
Facebook: Orange
Twitter: @orange
Key People
Stéphane Richard, Chairman & CEO

France Telecom is the primary telecommunications operator in France, with 221 million customers as of 2011. The company's corporate brand is Orange, the main mobile communications and Internet Provider in Europe. France Telecom trades in Paris and New York Stock Exchanges under the ticker symbol FTE. It operates in Asia Pacific, Europe, France, Latin America, Middle East & Africa, North America, Russia, Spain, Switzerland and United Kingdom. France Telecom employs 169,000 million workers worldwide.[3]

Background[edit | edit source]

France Telecom was established as Direction Générale des Télécommunications in 1889 as part of the French Ministry of Posts and Telecommunications, which it remained as until 1988. After the invention of telegraphy and telephony, the French government monopolized the country's telecommunications services, but in 1987, the European Commission initiated the liberalization of the telecommunications market in European countries, publishing the “Green Paper on the Development of the Common Market for Telecommunications Services and Equipment.” On July 2, 1990, the French law no. 90-568 was enacted, which formed France Telecom as a “société anonyme” (French Corporation), a public service provider governed by corporate law in accordance with the French Postal and Telecommunication Code. In 1991, French Telecom became an independent operator under public law, still under control of the government. In 1995, the Direction Général des Postes et Télécommunications (DGPT) issued a public consultation document to open competition in the telecommunications industry. In 1996, the French Parliament enacted the Experimental Licensing Bill and eventually, on December 31, 1996, French Telecom was incorporated, and then privatized in 1997. The following year, the telecommunications industry in France became open to competition.[4] [5] [6]

Business Portfolio[edit | edit source]

France Telecom's business is focused on providing the following services:

  • Local and international telephony
  • Wireless
  • Internet
  • Multimedia
  • Data
  • Broadcast and cable TV service[7]

A complete list of the France Telecom's subsidiary companies under its' business segments is available here.

Orange Business Services Brand[edit | edit source]

In 2000, France Telecom purchased Orange, a mobile phone operator owned by Vodafone AirTouch and based in United Kingdom, for 40.3 billion dollars. The transaction allowed the company to combine its cellular business with Orange to create the second largest mobile phone company in Europe.[8] In 2001, France Telecom formed the Orange Telecom Plc., selling 15% of its shares during the Initial Public Public Offering.[9] In 2003, the company bought back the 13 percent minority shares, which had been worth $7.8 billion dollars. This decision was prompted by a bill passed by the French government granting France Telecom the option to buy out the minority shareholders of Orange and Wanadoo, the company's internet business division.[10] At present, Orange has more than 144 million customers. In 2007, Milward Brown Optimor ranked the company as one of the world's most powerful brands.

Wanadoo[edit | edit source]

In 1996, France Telecom entered the internet business by launching Wanadoo, a wholly-owned subsidiary to serve as internet service provider (ISP). The company managed the PagesJaunes, an online yellow pages. In 1997, the company partnered with Microsoft's MSN to compete with AOL in France. When MSN decided to exit the French market in 1998, Wanadoo absorbed its subscribers. This made the company the leading internet service provider in France.[11] The following year, the company purchased Alapage.com, an online retail store selling books, videos and music. The company expanded in Spain, Netherlands and Belgium. In 2000, the company was listed on the Euronext Paris Stock Exchange. During the same year, the company also acquired Marcopoly, a home appliance and electronics company. The following year, the company acquired Freeserve, an ISP based in United Kingdom. Freeserve was re-launched as Wanadoo, UK.[12] This was succeeded by its acquisition of EresMas, an ISP and portal in Spain.[13] In 2003, the company sold its Belgian ISP subsidiary to Tiscali, Pan-European ISP for 6.5 million euros.[14] In 2004, France Telecom decided to buy out the minority shares of Wanadoo's investors to gain full control of the company.[15] The French Stock Exchange approved France Telecom's plan. The company's regained full control of its ISP subsidiary.[16] In 2006, France Telecom re-branded Wanadoo as Orange Broadband.[17]

French Government Ends Majority Control[edit | edit source]

In 2004, the French government decided to end its majority control over France Telecom and sold as much as 299 million shares reducing its stakes to the company to less than 50 percent. The sale was initiated by then Finance Minister Nicolas Sarkozy to cut the public debt of France and bring it within the standard limitation (60% of gross domestic product) set by the European Union. Sarcozy's hope in reducing the government's holdings in the company will ""increased room to maneuver in order to adapt to future developments in the telecommunications market."[18] The French government sold 10.85 percent reducing its' company holdings to 42.25 percent. In 2005, the French government again offered $5.5 billion worth of its shares in the company to reduce its holding to less than 33 percent. The sale was initiated by then Prime Minister Dominique de Villepin.[19] In 2007, when Nicolas Sarkozy became Prime Minister of France, the French government once again sold at least 5 percent of its holdings to the company to reduce the country's debt.[20] At present, French government owns 27 percent stakes in the company.[21]

Orange Foundation[edit | edit source]

In 1987, France Telecom established the Orange Foundations to carry out the company's philanthropy activities. The foundation is focused in providing services in the areas of health and disability particularly to those individuals suffering from autism, vision and hearing impairments and education to fight illiteracy by providing access to basic knowledge, training, educational materials and educating young girls in developing countries. Orange Foundation's philanthropic initiatives are conducted in 30 countries within Europe, Asia, Middle East and Africa. As of 2009, 410 projects were supported by the foundation.[22]

ICANN Involvement[edit | edit source]

In 1998, Prior to the establishment of the Internet Corporation for Assigned Names and Numbers, France Telecom was actively involved during the consensus building process for the creation of a new organization to manage the international operations and technical management and development of the Domain Name System (DNS) particularly in the International Forum on the White Paper (IFWP). The company also provided its comments regarding the fourth draft of the Articles and Bylaws of the IANA. The company recommended the inclusion of appropriate application of international laws and a balance international representation in the Board of the new Corporation.[23]

On April 21,1999, France Telecom/Oléane is one of the five companies along with America Online (AOL), CORE (Internet Council of Registrars), Melbourne IT and Register.com selected by the ICANN Board to become part of the initial testbed phase of the new competitive Shared Registry System for the .com, .net, and .org top level domain names (TLD)s. France Telecom's Group Executive Vice-President (Development Division) Jean-Jacques Damlamian said, "France Telecom has played an active role in the worldwide consensus-building effort that led to the creation of ICANN." In addition, Damlamian said that the company is proud to become participant of the test bed for the Shared Registry System and he emphasized that having been selected in the process is an acknowledgment of France Telecom's capacity as partner in developing the internet in an international level. He said that being a participant strengthens the company's position as leader in the internet business. [24]

In 2004, during the ICANN Board meeting in Rome, Jean-Jacques Damlamian was appointed Chair of the Nominating Committee. At the time of his appointment he served as Special Advisor to the CEO of France Telecom.[25]

Since the inception of ICANN France Telecom has been active in the different activities and meetings of the internet governing body through its representatives. The company is a member of the ISPCP constituency. Its representative to the constituency is Olivier Muron, France Telecom's Vice-President of R&D Governance.[26]

References[edit | edit source]

  1. ↑ Consolidated Financial Statements
  2. ↑ Consolidated Financial Statements
  3. ↑ France Telecom Orange Group
  4. ↑ Regulatory Reform in France, Regulatory Reform in the Telecommunications Sector
  5. ↑ France Telecom Bylaws
  6. ↑ France Telecom Group History
  7. ↑ About France Telecom
  8. ↑ France Telecom to form Europe's No. 2 mobile firm after buying UK player
  9. ↑ Orange Tuesday happy birthday to Orange Telecom which celebrates its fifteenth irthday with an unusual twist - cupcakes
  10. ↑ France Telecom in Orange buyout
  11. ↑ Reference for Business: Wanadoo Company Profile
  12. ↑ French Wanadoo Buys Freeserve
  13. ↑ Wanadoo acquires EresMas to become 2nd largest ISP in Europe
  14. ↑ Tiscali buys Wanadoo Belgium
  15. ↑ France Telecom's Wanadoo buyout
  16. ↑ France Telecom cleared to buy back Wanadoo
  17. ↑ Wanadoo rebrands as Orange Broadband
  18. ↑ Paris cedes control of telephone company
  19. ↑ France Sells France Telecom Stake to Reduce Debt
  20. ↑ Share sale dents France Telecom
  21. ↑ The Future of Telecommunications: An Interview with Didier Lombard, Chairman of the Board, France Telecom
  22. ↑ Annual and Corporate Responsibility Report 2009
  23. ↑ France Telecom statement on fourth draft articles and bylaws of the new IANA
  24. ↑ Press Release: ICANN Names Competitive Domain-Name Registrars
  25. ↑ 2004 Nominating Committee Begins Work with New Chair
  26. ↑ Olivier Muron Affirmation of Application
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