3 Operating costs
Direct costs
| In CHF million | 1.1.–30.6.2021 | 1.1.–30.6.2020 | ||
|---|---|---|---|---|
| Customer premises equipment and merchandise | 465 | 403 | ||
| Services purchased | 354 | 319 | ||
| Costs to obtain a contract | 111 | 140 | ||
| Costs to fulfill a contract | 51 | 54 | ||
| Network access costs of swiss subsidiaries | 155 | 141 | ||
| Network access costs of foreign subsidiaries | 214 | 193 | ||
| Total direct costs | 1,350 | 1,250 |
Indirect costs
| In CHF million | 1.1.–30.6.2021 | 1.1.–30.6.2020 | ||
|---|---|---|---|---|
| Salary and social security expenses | 1,291 | 1,350 | ||
| Other personnel expense | 36 | 29 | ||
| Total personnel expense | 1,327 | 1,379 | ||
| Information technology cost | 119 | 119 | ||
| Maintenance expense | 127 | 113 | ||
| Energy costs | 61 | 59 | ||
| Advertising and selling expenses | 83 | 86 | ||
| Consultancy expenses and freelance workforce | 60 | 63 | ||
| Administration expense | 30 | 31 | ||
| Allowances for receivables and contract assets | 37 | 42 | ||
| Miscellaneous operating expenses | 349 | 310 | ||
| Total other operating expense | 866 | 823 | ||
| Capitalised self-constructed tangible and intangible assets | (214) | (175) | ||
| Own work for capitalised contract costs | (29) | (16) | ||
| Gain on sale of property, plant and equipment | (3) | (1) | ||
| Miscellaneous income | (31) | (25) | ||
| Total capitalised self-constructed assets and other income | (277) | (217) | ||
| Total indirect costs | 1,916 | 1,985 |
Capitalised self-constructed tangible and intangible assets include personnel costs for the manufacturing of technical installations, the construction of network infrastructure and the development of software for internal use.