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Telecom operators cost-cutting hits gear makers


March 20 (Reuters) - Telecom gear makers are suffering as customers, especially those in developed markets in Europe and North America, cut costs and lay off staff to deal with the global economic crisis. 
In a few developing markets, notably China, telecom services are still expanding, providing a boon to equipment makers, notably domestic firms such as Huawei and ZTE.
For an analysis "Chinese firms, Ericsson dangling cash for deals" click on . Following is a list of major operators' recent cost-cutting announcements:

AMERICA MOVIL -- America Movil plans to cut capital expenditures by about half to $3 billion in 2009.
AT&T -- The top U.S. carrier said on Jan. 28 capital spending in 2009 will be 10-15 percent lower than in 2008.
BT GROUP -- The operator announced late last year 10,000 job cuts and a plan to trim the cost of its pension scheme just days after it issued a profit warning.
GLOBE TELECOM -- The second-biggest telecoms firm in the Philippines said in February it will cut capital spending this year by up to 16 percent to $350-$400 million.
MEGAFON -- Russia's No. 3 carrier said in December it would closely monitor the economic situation and be ready to respond by cutting investment or operating costs if necessary.
MILLICOM -- The emerging market operator said last month it would slash 2009 capex to $1 billion from $1.4 billion last year.
MTS -- The largest mobile phone operator in Russia said on March 11 it planned $1.5 billion capital expenditure this year, down from $2.2 billon in 2008.
RELIANCE COMMUNICATIONS -- Said its capital expenditure would be about 150 billion rupees in the year to March 2010, and 250 billion rupees over the 15 months to March 2009, 20 percent lower than projected earlier.
SPRINT NEXTEL -- The No. 3 U.S. wireless carrier said it would continue spending on network maintenance in 2009, but would hold off on expansion to preserve its cash position.
TELECOM ITALIA -- The debt-laden operator said it would shed assets worth nearly $4 billion and cut another 5 percent of its workforce to slash borrowings and costs.
TELEFONICA -- One of the largest mobile operators in the world said on Feb. 26 its capex would fall to 7.5 billion euros in 2009 from 8.5 billion last year.
TELENOR -- Said on Feb. 11 it was cutting capital expenditure to 15-17 percent of revenues from 19 percent in 2008.
TIM PARTICIPACOES -- Telecom Italia's Brazilian subsidiary has earmarked 2.3 billion reais for investments in 2009, down from 3.3 billion in 2008.
VERIZON -- Said on Jan. 27 its capital expenditure in 2009 would be lower than last year.
VIMPELCOM -- The chief of Russia's No.2 mobile carrier said on Jan. 28 the firm was postponing investments.
VODAFONE -- Said in November it aims to maintain profits and boost free cash flow by cutting 1 billion pounds of costs.
ZAIN -- The Kuwaiti mobile operator said in February its 2009 capex in its African operations would fall to $1 billion-$1.5 billion from $1.6 billion last year.

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