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A Spanish Sub-Brand Squeeze Out

Written by Tom Leins | Jul 5, 2022 11:46:00 AM

The last year has seen a number of well-known sub-brands withdraw from the Spanish mobile market, as telecom giants like Telefonica and Orange have sought to streamline their respective product portfolios.

Today we take a closer look at the history of these brands—and their untimely demises.

Amena

Owner: Orange Espana
Original Launch:
January 1999
Shutdown Date:
September 13, 2021

In January 1999, Amena entered the market, joining Telefonica and Airtel (now Vodafone). The Amena brand was first introduced by Retevision Movil, which then became the country’s third mobile operator.

Amena quickly found its footing and passed ten million mobile subscriptions in 2005. The newcomer attracted the attention of France Telecom (now known as Orange Group), which agreed to pay EUR6.4 billion for an 80% stake in July 2005.

Despite the sizeable price tag, France Telecom opted to replace the Amena brand with its own tried and trusted Orange brand in October 2006.

Unexpectedly, the Amena brand was resurrected in 2012 as a sub-brand as Orange sought to target the budget segment.

Less than a decade after the reintroduction, rumors suggested that Orange was planning another brand overhaul, and Amena could be facing the chop once again.

Less than a decade after the reintroduction, rumors suggested that Orange was planning another brand overhaul, and Amena could be facing the chop once again.

Sure enough, Orange duly confirmed that the Amena sub-brand was set to be discontinued on September 13, 2021, and all subscribers were migrated to the main Orange brand by end-2021.

The discontinuation of Amena marked the end of one of the Spanish telecom sector’s most enduring brands and heralded the disappearance of Orange’s second brand of 2021—after Republica Movil (see below).

Republica Movil

Owner: Orange Espana
Original Launch:
2013
Shutdown Date:
June 11, 2021

Republica Movil launched over the Orange Espana network in 2013. In November 2018, it was acquired by its network host, having amassed 130,000 subscriptions in five years.

However, the budget player failed to distinguish itself from Orange’s existing budget unit, Simyo—acquired from Dutch telco KPN in December 2012. Simyo reached the one million subscriber milestone in September 2018 and continues to grow today.

With tentative plans already underway to eliminate Amena, there was a sense of inevitability when Orange confirmed that it was preparing to merge the increasingly peripheral Republica unit into Simyo in the summer of 2021.

The tie-up took place on June 11, 2021, with Orange informing Republica subscribers: “Today we are delighted to inform you of a new chapter in the history of Republica Movil … in which we will continue to offer you the best service and the best experience as we have done so far.” 

Tuenti

Owner: Telefonica Espana
Original Launch:
April 2006 (social network); February 2012 (MVNO)
Shutdown Date:
June 1, 2022

Tuenti originated as a social network in April 2006, and went on to become the most used service of its kind in Spain.

Tuenti originated as a social network in April 2006, and went on to become the most used service of its kind in Spain. In August 2010, Tuenti was acquired by Telefonica, launching an MVNO over the network of its parent company in February 2012.

The Tuenti brand was later extended to a number of Latin American markets, and still exists in Argentina and Ecuador, although units in Guatemala, Mexico, and Peru have all been ditched.

Tuenti’s initial focus was on the provision of an end-to-end digital experience, which emphasized its over-the-top multi-platform app as a way of increasing customer engagement. The company’s VozDigital service, launched in 2014, allowed customers to place free calls from its app to any GSM or fixed line number nationwide, and to 40 other international countries, via Wi-Fi or 4G. However, this service was discontinued on May 29, 2019.

With interest in Tuenti waning, Telefonica ultimately decided to deactivate the sub-brand on June 1, 2022.

Mobile-only subscriptions are being migrated to Movistar’s “Inicia” tariff. Mobile/fiber subscriptions are being transferred to the O2 sub-brand, which launched in June 2018, mirroring the well-known brand used by Telefonica’s UK subsidiary.