With their own markets saturated, big telecom companies look abroad.

(From Turkish Daily News)

Having tapped out markets on their home turf, European telecommunications companies are aggressively exploring a new frontier: Eastern Europe.

Tuesday's signing of a 2.76 billion euros ($3.58 billion) deal between the Czech government and Spain's Telefonica SA for 51.1 percent of Cesky Telecom illustrates where companies are looking for new customers. Analysts say there is more room for investors than in saturated Western markets, with huge growth potential as long as expectations are realistic.

Another case is British telecom Vodafone Group PLC, which said last month it would acquire two cell phone operators in Romania and the Czech Republic for 2.6 billion euros, expanding its reach into what it sees as attractive markets.

Countries that joined the European Union in 2004, like the Czech Republic, have adjusted …