As digital transformation accelerates worldwide, telecommunications companies build the underlying infrastructure enabling this connectivity revolution. Spanning massive mobile networks, fiber broadband, 5G rollouts and more, the aptly named "telecom giants" invest billions yearly to keep our modern economy flowing.
The largest telecom operators stand out for their sheer scale and hundreds of millions of subscribers across consumer mobile, household internet and enterprise services globally. Let‘s analyze the 10 biggest telecom companies on earth based on annual revenues.
Overview
The global telecom industry raked in over $1.6 trillion during 2020 as fixed and wireless networks enabled life under lockdowns. Voice, text and video thrived as work, school and socializing went remote.
While national telecom champions still prevail across much of Asia and Europe, the U.S. scene converges around three giant networks – Verizon, AT&T and T-Mobile. The top 10 carriers below represent diverging strategies. Some seek to bundle mobile, home broadband and entertainment offerings within single markets. Others pursue transnational growth across adjacent regions.
But they share a common driver – the relentless pace of technological improvement. Already mobilizing $200+ billion for multi-year 5G deployments, tomorrows even faster 6G networks underpin the next generation of innovation set to benefit billions more worldwide.
#10: Telefonica
Spain‘s Telefonica stands as the only European carrier within the top 10 biggest telecom companies globally. Founded in 1924 as a state monopoly, Telefonica evolved into an international operator across Europe and Latin America.
| Key Telefonica Stats | |
|---|---|
| 2021 revenue | $46.4 billion |
| Subscribers | 344 million |
| Assets | $121 billion |
| Employees | 111,000 |
Despite financial struggles since the European debt crisis, Telefonica continues funneling over €7 billion annually into infrastructure from Spain and Britain to Colombia and Peru. This ensures Telefonica networks support consumer mobile and enterprise 5G across its footprint.
While Telefonica attempts to compete through size, rival carriers criticize lagging 4G coverage and average 5G download speeds[1]. Long-term debts of $33 billion also burden operations spanning 24 countries.
However, a recent joint venture with Allianz bodes well for upgraded fiber optic deployments[2]. Together with energy grid improvements across neglected markets like Argentina, Telefonica targets beefed-up connectivity enabling digital transformation.
[2] Light Reading: Telefonica joins forces with Allianz
#9: Orange
French telecom incumbent Orange directly serves over 263 million mobile, broadband and IPTV subscribers globally. Expanding abroad via strategic partnerships and acquisitions, Orange maintains strong positions across European and African markets.
| Key Orange Stats ||
|-|-|
| 2021 revenue | $49.3 billion |
| Assets | $146 billion |
| Employees | 128,000 |
Originating from state monopoly France Telecom in the 1990s, Orange went public and privatized completely by 2004. This freed up substantial capital for overseas growth while meeting debt obligations.
Now holding 41% market share back home, Orange aggressively rolls out high-speed fiber broadband and 5G initiatives country-to-country[1]. Unfortunately, red tape often hampers rapid network upgrades wanted by consumers.
Under CEO Stephane Richard, management emphasizes IT infrastructure and international roaming capabilities for steady revenues[2]. But critics say Orange falls behind rivals on video streaming and smartphone backup storage innovations valued highly by users.
[1] Light Reading: Orange sees Q2 revenue growth across all regions[2] Orange 2020 Annual Results
#8: Sky
European satellite TV provider Sky grades as the smallest but strongest growing carrier among the top 10 biggest telecom companies. Concentrated in the continent‘s largest economies – UK, Germany, Italy and Ireland – Sky builds broadband and mobile addons onto 25 million paid television customers.
| Key Sky Stats ||
|-|-|
| 2021 revenue | $18.7 billion |
| Subscribers | 23 million |
| Employees | 30,000 |
Originally called Sky Television and selling dish antennas in Britain during the 1980s[1], Rupert Murdoch acquired a controlling stake in Sky during its first decade. He grew it into the country‘s first satellite TV platform before expanding into Ireland, Austria, Germany and Italy.
US cable multi-national Comcast successfully bid $39 billion for Sky in 2018[2], seeking to harness valuable European sports rights. New owners accelerated the Sky Q rollout of ultra HD channels, on-demand streaming apps and voice control remote functionality.
But strict UK media regulations blocked Sky from bundling mobile contracts alongside existing TV/landline packages[3]. Management now repositions Sky as a premier content creator and broadcaster across Europe.
[1] The Guardian: The history of Sky: from egg boxes to Alex James via Elisabeth Murdoch[2] Variety: Comcast Closes Deal for Fox‘s Sky Stake, Owns Over 75% of European Pay-TV Giant
[3] FierceVideo: Comcast forced to ditch mobile plans in Sky acquisition, will pursue MVNO options instead
#7: China Telecom
State-run operator China Telecom sticks to fixed-line services plus necessary mobile networks mandated by authorities. As the world‘s largest fixed-line and broadband provider, China Telecom sells telecom equipment to government agencies while operating phone and internet infrastructure nationwide.
| Key China Telecom Stats ||
|-|-|
| 2021 revenue | $74 billion |
| Fixed broadband subscribers | 110 million |
| 4G subscribers | 160 million |
| Employees | 307,000 |
Critics argue China Telecom lags smaller private carrier rivals China Mobile and China Unicom in 4G availability and 5G rollouts. Regardless, as an arm of the Chinese national telecom grid, China Telecom continues constructing fiber backhaul and transmission networks countrywide per 5-year plans.
Recent sanctions over cyber espionage allegations temporarily restricted China Telecom from accessing Western network gear[1]. But with an exclusive mandate maintaining vast fixed infrastructure serving Beijing‘s agenda, China Telecom should prevail on state support.
[1] Light Reading: US tightens screw on Chinese vendors#6: SoftBank Corp
Despite Japanese roots dating from 1981, SoftBank only became a telecom carrier upon acquiring struggling broadband provider Vodafone KK in 2006 and renaming it SoftBank Mobile. This new subsidiary sold the iPhone in Japan while building a national 4G network rivaling incumbent leader NTT Docomo.
| Key SoftBank Stats ||
|-|-|
| 2021 revenue | $42.7 billion |
| Mobile subscribers | 50 million |
| Employees | 9,000 |
SoftBank Corp operates Japan‘s largest 4G network and leading mobile data traffic share[1] thanks to network utilization rates topping 90%[2]. By sharing infrastructure with KDDI across over 210,000 4G base stations nationwide, SoftBank rapidly built 4G coverage for its 50 million mobile users.
Management is now cooperating with rivals NTT Docomo and KDDI on shared investments towards 5G and 6G research through a joint venture called Japan Advanced Wireless Network[3]. This pooling of resources should help SoftBank leverage its infrastructure leadership going forward.
[1] Light Reading: SoftBank and KDDI buddy up for 5G[2] Mobile World Live: Japan‘s SoftBank warns of mobile slowdown as profit falls
[3] Telecoms.com: Rakuten left out as rivals couple up to collaborate on 6G
#5: NTT
Japan‘s original telecom monopoly NTT (Nippon Telegraph and Telephone) retains fixed-line dominance and still claims top mobile carrier NTT Docomo among its main units. Supplying enterprises across Asia and beyond, NTT companies provide global communications infrastructure including undersea cables.
| Key NTT Stats ||
|-|-|
| 2021 revenue | $103 billion |
| Mobile subscribers | 70 million |
| Employees | 308,000 |
NTT traces its roots serving Japan‘s 19th century postal network before a 1952 monopoly on domestic telephony[1]. A 1987 privatization and 1999 spin-off spawned mobile unit Docomo during the dawn of the internet. Today, NTT Ltd operates data centers and networks supporting Japanese multinationals across Europe and Americas.
Despite cries to reabsorb NTT units to enable unified next-gen infrastructure[2], the government insists separating its $200 billion mobile, regional, long distance and docomo divisions spurs competition and innovation.
[1] NTT investor relations – Our history[2] Light Reading: NTT restructuring necessary
#4: Deutsche Telekom
German incumbent Deutsche Telekom claims extensive European fixed-line subscribers, fiber optic footprint and mobile users primarily under the T-Mobile brand. Originally state-owned like other national "telephone and telegraph" monopolies, Deutsche Telekom now pursues transatlantic growth.
| Key Deutsche Telekom Stats ||
|-|-|
| 2021 revenue | $116 billion |
| Mobile customers | 216 million |
| Employees | 217,000 |
Having snatched US mobile maverick Sprint for $26 billion in 2020, Deutsche Telekom doubles down on disruptor T-Mobile US leading American 5G upgrades[1]. The integration added mid-band spectrum desired for blanket coverage plus lucrative new demographics.
Meanwhile Deutsche Telekom concentrates European capital into fiber optic rollouts where slower regulations often frustrate operations[2]. Thankfully, dependable cash flows from fixed-line services support Deutsche Telekom through economic cycles and rural expansions.
[1] Light Reading – T-Mobile US overtakes AT&T in major 5G speed test[2] Telecompaper – Deutsche Telekom makes billions in fibre network expansion
#3: China Mobile
Given mainland China‘s massive population and rapid development strides, state-championed operators like China Mobile thrive through unchecked growth. While catering to nearly a billion domestic mobile users, critics say state protection limits incentives for innovation and better customer service.
| Key China Mobile Stats ||
|-|-|
| 2021 revenue | $135 billion |
| Mobile subscribers | 947 million |
| Employees | 466,000 |
As the world‘s largest mobile carrier, China Mobile accounts for roughly 60% of national cellular subscription share[1]. Preferential state policies regarding 5G licensing cement China Mobile‘s dominance, with over 250 million customers on proprietary 5G packages so far[2].
Focused squarely on domestic markets without overseas aspirations, China Mobile should maintain its lead under national 5-year plans emphasizing network build-out and digital transformation.
[1] statistica – China: mobile phone subscriptions 2020[2] Mobile World Live – China Mobile makes record high profit from 5G and IoT
#2: Verizon
Synonymous with mobile coverage across vast American geography, Verizon Wireless reigns as the country‘s largest carrier offering nationwide next-gen 5G services. Beyond wireless, Verizon markets home broadband networks and solutions for global enterprises.
| Key Verizon Stats ||
|-|-|
| 2021 revenue | $133 billion |
| Wireless subscribers | 142 million |
| Employees | 118,000 |
Formed by mergers under the former Bell system, Verizon‘s key asset comprises extensive US wireless spectrum enabling 4G leadership and early 5G superiority over arch-rivals AT&T and T-Mobile[1]. This fuels network investments topping competitor Capex spending on upgraded cell sites, equipment and related infrastructure.
Seeking revenue diversification as wireless subscriptions plateau, Verizon acquired Yahoo and AOL to steer media strategy. Critics argue these fading web pioneers contribute little towards stemming subscriber losses to cable competitors bundling mobile, TV and internet.
[1] Opensignal – USA 5G User Experience Report January 2022#1: AT&T
What began as Alexander Graham Bell‘s 19th century telephone patent grew into the globe‘s biggest telecom colossus – AT&T Corporation spanning three distinct business pillars. Across wireless mobility, fixed residential fiber and premium pay television, AT&T permeates modern American households.
| Key AT&T Stats ||
|-|-|
| 2021 revenue | $168 billion |
| Wireless subscribers | 128 million |
| Broadband subscribers | 14 million |
| Employees | 203,000 |
Despite courting controversy dismantling the original Bell System monopoly in 1984, allowing CLECs access sparked competition benefitting consumers long-term. Today "Ma Bell‘s" triad of mobile, fiber optic and DirecTV holdings seamlessly bundle voice, data and video solutions for 163 million total subscribers.
With leading spectrum assets following the 2015 DirecTV acquisition, AT&T aggressively marketed bundled mobile and streaming packages. But $200 billion later, this "Netflix of carrier video" failed to retain customers. Ultimately AT&T spun out DirecTV to refocus on next-gen 5G and fiber home broadband rollouts.
Industry Outlook
Collectively the top 10 telecom operators connect over 3 billion mobile users and hundreds of millions more fixed internet subscribers globally. Network equipment suppliers like Ericsson forecast total mobile data traffic to grow by 5-fold through 2027, necessitating continued infrastructure investment[1].
As technology breakthroughs enable exponentially faster 6G capabilities this decade, telecom giants race to implement cutting-edge upgrades country-by-country. Early movers hope to lock in subscribers eager for radically enhanced user experiences across augmented reality, cloud gaming, connected vehicles and the metaverse.
Yet for all the platform innovations teased through elaborate advertisements, average customers primarily demand two simple deliverables – blanket 5G and home fiber coverage with competitive pricing. Achieving this sweet spot sustainably still eludes most carriers chasing thesesemblance of long-term loyalty.
[1] Ericsson Mobility Report June 2021