Nordic study reveals telecom giants dominate while media outlets struggle
A new analysis of revenue patterns across Nordic media and telecom sectors from 2018-2022 shows wireless carriers are far more profitable and concentrated than traditional news outlets, raising questions about market power and media diversity. The findings suggest small markets may need consolidation to compete globally, but also highlight growing dominance by a handful of players in search and internet services.
Originaltitel: The political economy of networked media: The revenue and concentration of communication markets in the Nordics
In this article, we consider revenue and concentration developments of Nordic media and communication sectors within the wider framework of the network Internet ecology, the aim of which is to understand and contextualise what media concentration is in today's digital platform economy. By comparing revenue data from the telecom, content media, Internet, and backbone service sectors in Denmark, Finland, Norway, and Sweden between 2018-2022, our analysis shows that telecom is the most profitable sector, particularly wireless (mobile). Traditional content media displayed revenue recessions during Covid-19, however most sectors were recovering by 2022, and many show growth. While content media are moderately to highly concentrated across the region, telecom and core Internet services - particularly search - display the highest concentration levels overall. Finland has the most concentrated media and communications ecology, while Denmark is the least concentrated. High revenue coupled with high concentration thus indicates that small markets may benefit from concentration to attain economies of scale to enable funding of quality services in competition with global providers. The Nordic context furthermore suggests that such concentration levels are only sustainable with appropriate regulations. Our research thus shows that concentration in communication markets should be understood within context-dependent market dynamics, contributing to the political economy of communication.