ORAN Overview

SecNumCloud Qualification: Orange Business has received the SecNumCloud qualification from the French Cybersecurity Agency (ANSSI) for its Cloud Avenue SecNum platform, ensuring compliance with Europe's highest security standards and enabling customers to deploy critical services securely.

Cloud Avenue Solutions: The Cloud Avenue portfolio offers flexible cloud solutions tailored for various sectors, including sensitive industries, while emphasizing data sovereignty, security features, and operational efficiency in line with French and European regulations.

Launch of Quantum-Safe Networking Service: Orange Business and Toshiba Europe have introduced the Orange Quantum Defender service in Paris, utilizing Quantum Key Distribution (QKD) and Post Quantum Cryptography (PQC) to protect enterprises from future quantum computing cyberattacks.

Significance for Sensitive Data Protection: This service aims to secure sensitive data against emerging threats, particularly for industries like finance and healthcare, by providing a multi-layered security approach over existing fibre networks.

Sustainable Equipment Reuse: La Poste will receive approximately 90% of Wi-Fi terminals and 78% of switches from the Paris 2024 Olympic sites, enhancing connectivity while promoting sustainability through equipment reuse.

Corporate Social Responsibility Commitment: The collaboration between Orange and La Poste reflects their shared commitment to reducing environmental impact and achieving net-zero carbon emissions by 2040 through responsible digital practices.

Orange SA Downgrade: Shares of Orange SA fell over 2% after Morgan Stanley downgraded its rating due to concerns about the company's struggling operations in France, which represent a significant portion of its value, and projected declines in EBITDAaL growth from 2024 to 2026.

Competitive Pressures: The French telecom market is experiencing increased competition, particularly from rivals offering aggressive pricing strategies, which are expected to negatively impact Orange's profitability and average revenue per user, while political and regulatory hurdles hinder potential consolidation efforts.

Launch of Live Intelligence: Orange Business has introduced its new GenAI solution, Live Intelligence, designed to simplify the deployment and management of AI technology for businesses and local authorities in Europe, ensuring data security by hosting it within Europe.

Democratization of GenAI: The solution aims to make GenAI accessible to all businesses, including SMEs, by providing an easy-to-use interface with pre-set prompts, addressing challenges like high entry costs and data leak concerns while promoting operational efficiency.

Strong Financial Performance: Orange SA's shares rose 1.7% following third-quarter results that met analysts' expectations, with EBITDAaL up 3% and operational free cash flow increasing by 7% year-over-year, driven by improved performance in France and strong growth in the Middle East and Africa.

Investor Focus on Price Competition: Analysts suggest that the upcoming Investor Call will be crucial for understanding the impact of a recent price war in France, although Orange has maintained stability in mobile net additions and convergence despite some challenges in its business solutions division.