3 Operating costs

Direct costs

In CHF million	1.1.–30.6.2022	1.1.–30.6.2021
Customer premises equipment and merchandise	451	465
Services purchased	356	354
Costs to obtain a contract	99	111
Costs to fulfill a contract	48	51
Network access costs of swiss subsidiaries	131	155
Network access costs of foreign subsidiaries	187	214
Total direct costs	1,272	1,350

Indirect costs

In CHF million	1.1.–30.6.2022	1.1.–30.6.2021
Salary and social security expenses	1,346	1,291
Other personnel expense	27	36
Total personnel expense	1,373	1,327

Information technology cost	130	119
Maintenance expense	143	127
Energy costs	72	61
Advertising and selling expenses	101	83
Call centre services purchased	66	70
Consultancy expenses and freelance workforce	59	60
Administration expense	25	30
Allowances for receivables and contract assets	30	37
Miscellaneous operating expenses	376	279
Total other operating expense	1,002	866

Capitalised self-constructed tangible and intangible assets	(237)	(214)
Own work for capitalised contract costs	(32)	(29)
Gain on sale of property, plant and equipment	(3)	(3)
Miscellaneous income	(72)	(31)
Total capitalised self-constructed assets and other income	(344)	(277)

Total indirect costs	2,031	1,916

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.