arab telecom and broadband markets jawad j. abbassi founder & general manager samena convergence...
TRANSCRIPT
Arab telecom and broadband
markets
Jawad J. AbbassiFounder & General
Manager
SAMENA Convergence to Jordan
November 4, 2008 Dead Sea, Jordan
An overview of the Arab World’s telecom and broadband markets
Projected growth in broadband services
Stats and primary research findings from Arab Advisors Surveys
Outline
Arab ICT: A Regional Comparison 2007
Source: Arab Advisors Group
Country PSTN Penetration % Cellular Penetration %Internet Users Penetration %
Algeria 8.9% 80.4% 7.0%Bahrain 19.5% 106.6% 22.0%
Egypt 15.2% 41.3% 5.9%
Iraq 4.6% 48.7% 6.0%
Jordan 8.9% 83.4% 14.0%
Kuwait 15.8% 81.6% 32.7%
Lebanon 18.9% 31.2% 20.2%
Libya 13.9% 86.8% 6.0%
Mauritania 1.2% 49.2% 0.7%
Morocco 7.8% 64.9% 8.5%
Oman 10.5% 94.4% 12.4%
Palestine 9.3% 35.3% 10.8%
Qatar 17.7% 94.5% 19.5%
Saudi Arabia 16.3% 115.6% 26.1%Sudan 1.2% 22.1% 1.1%Syria 18.0% 33.6% 14.5%
Tunisia 12.4% 76.7% 9.9%
UAE 29.4% 176.0% 58.7%Yemen 4.7% 20.6% 4.8%
0%
20%
40%
60%
80%
100%
120%
140%
160%
180%
200%
Alg
eria
Bah
rain
Eg
yp
t
Iraq
Jord
an
Ku
wait
Leb
an
on
Lib
ya
Mau
ritan
ia
Mo
rocco
Om
an
Pale
stin
e
Qata
r
Sau
di A
rab
ia
Su
dan
Syria
Tu
nis
ia
UA
E
Yem
en
PSTN Penetration % Cellular Penetration %
Internet Users Penetration %
Arab ICT: A Regional Comparison 2007
Source: Arab Advisors Group
Total Country Connectivity Measure (TCCM) in 2007
Source: Arab Advisors Group
0%
50%
100%
150%
200%
250%
300%
350%
UA
E
Ba
hra
in
Sa
ud
i A
rab
ia
Qa
tar
Ku
wa
it
Lib
ya
Om
an
Jord
an
Alg
eri
a
Leb
an
on
Tu
nis
ia
Sy
ria
Eg
yp
t
Mo
rocc
o
Pa
lest
ine
Ira
q
Ma
uri
tan
ia
Ye
me
n
Su
da
n
Household Mainlines% Cellular % I nternet users %
3,068
204
11,229
1,458
559
538
852
37
2,394
445
3,453
1,273
1,320
1,022
3,996
237
350
277
727
02,0004,0006,0008,00010,00012,000
Algeria
Bahrain
Egypt
Iraq
J ordan
Kuwait
Lebanon
Libya
Mauritania
Morocco
Oman
Palestine
Qatar
Saudi Arabia
Sudan
Syria
Tunisia
UAE
Yemen
Arab PSTN Users: 33.4 million in 2007 up from 31.1 million in 2006
Note: the bar charts portray the figures per country by end of 2007Source: Arab Advisors Group
PSTN Subscribers (000s) PSTN Penetration %
8.9%
19.5%
15.2%
4.6%
8.9%
15.8%
13.9%
1.2%
7.8%
1.2%
18.0%
12.4%
29.4%
4.7%
16.3%
17.7%
9.3%10.5%
18.9%
0% 5% 10% 15% 20% 25% 30% 35%
Arab Cellular Users: 176.8 million in 2007 up from 125 million in 2006
80.4%
106.6%
41.3%
48.7%
83.4%
81.6%
86.8%
49.2%
64.9%
22.1%
33.6%
76.7%
176.0%
20.6%
31.2%
94.4%35.3%
94.5%
115.6%
0% 50% 100% 150% 200%
27,611
1,116
13,540
4,771
2,774
5,290
1,510
20,029
8,218
6,451
7,842
7,900
4,437
28,4001,264
1,327
2,500
1,205
30,640
05,00010,00015,00020,00025,00030,00035,000
Algeria
Bahrain
Egypt
I raq
Jordan
Kuwait
Lebanon
Libya
Mauritania
Morocco
Oman
Palestine
Qatar
Saudi Arabia
Sudan
Syria
Tunisia
UAE
Yemen
Cellular Subscribers (000s) Cellular Penetration %
Note: the bar charts portray the figures per country by end of 2007Source: Arab Advisors Group
Nineteen cellular operators in twelve Arab countries offered
3G/3.5G services by April 2008
Source: Arab Advisors Report “3G Cellular Services in the Arab World” July 2008
Country Number of operators
offering 3GOperators offering 3G services
Operator not offering 3G services
Bahrain 2 Zain Bahrain Batelco
None
Egypt 2 Etisalat Misr MobiNil Vodafone Egypt
Iraq 1 Mobi-tel
Asiacell Zain Iraq Sana Tel Korek Telecom Mobi-tel
Kuwait 2 Zain Kuwait None Wataniya Telecom
Libya 1 Libyana Mobile Phone Al Madar
Morocco 2 Maroc Telecom Wana Médi Telecom
Mauritania 1 Chinguitel Mauritel Mattel
Oman 1 Nawras Oman Mobile Qatar 1 Qtel Qtel
Saudi Arabia 2 ALJAWAL
Bravo Mobily
Sudan 2 MTN Sudan Zain Sudan
Sudani-Sudatel
UAE 2 Etisalat None du
Arab Internet Users: 29.4 million in 2007 up from 23 million in 2006
7.0%
22.0%
5.9%
6.0%
14.0%
32.7%
6.0%
0.7%
8.5%
1.1%
14.5%
9.9%
58.7%
4.8%
26.1%
19.5%
10.8%
12.4%
20.2%
0% 10% 20% 30% 40% 50% 60% 70%
2,400
230
1,669
800
1,110
366
23
2,394
424
2,778
1,013
2,634
1,034
4,394
780
328
407
2616,400
01,0002,0003,0004,0005,0006,0007,000
Algeria
Bahrain
Egypt
I raq
Jordan
Kuwait
Lebanon
Libya
Mauritania
Morocco
Oman
Palestine
Qatar
Saudi Arabia
Sudan
Syria
Tunisia
UAE
Yemen
Internet Users (000s) Internet Users Penetration %
Note: the bar charts portray the figures per country by end of 2007
Source: Arab Advisors Group
35.07%
30.46%
25.78%
23.77%
23.30%
22.15%
17.20%
14.41%
9.15%
7.98%
7.81%
7.64%
7.00%
6.01%
4.34%
2.40%
2.10%
1.61%
1.50%
1.50%
1.12%
1.00%
0.71%
0.58%
0.05%
0.04%
0.02%
0% 5% 10% 15% 20% 25% 30% 35% 40%
Denmark
Korea
United Kingdom
Germany
United States
J apan
I taly
Portugal
Greece
Qatar
UAE
Slovak Republic
Bahrain *
Turkey
Mexico
Saudi Arabia
Kuwait *
J ordan
Morocco
Palestine
Tunisia
Lebanon
Oman
Egypt
Yemen
Syria
Sudan *
Qatar
UAE
Bahrain*
Broadband Internet in the Arab World by end of 2007: Gradually making it to
the global scene!
* EstimateSource: Arab Advisors Group and OECD
% broadband out of population
Arab ADSL/broadband: 2.7 million by end of 2007 with a total penetration
rate of 0.96%
* Arab Advisors estimate^ The Qatar Planning Council has restated the population figures for the years 2004, 2005and 2006. In light of these changes, the Arab Advisors Group recalculated the ADSLpenetration % for 2007 according to the new population figures. Source: Arab Advisors Group
CountryBroadband
accounts (000s)Broadband % of total
Internet accountsBroadband % of total mainlines
Broadbandpenetration %
Bahrain * 68.940 90.0% 33.8% 7.0%Egypt 427.085 38.9% 3.8% 0.6%Jordan 92.100 46.1% 16.5% 1.6%
Kuwait * 70.300 19.0% 13.1% 2.1%
Lebanon 44.000 16.9% 6.1% 1.0%
Morocco 476.414 90.6% 19.9% 1.5%
Oman 18.984 20.3% 6.9% 0.7%
Palestine 55.360 54.4% 15.8% 1.5%
Qatar 70.340 80.9% 29.6% 5.3% ^
Saudi Arabia 595.000 32.5% 14.9% 2.4%
Sudan * 6.231 7.5% 1.4% 0.02%Syria 6.975 1.0% 0.2% 0.04%Tunisia 114.166 45.1% 9.0% 1.1%UAE 350.732 39.9% 26.6% 7.8%Yemen 10.450 5.1% 1.0% 0.05%
69
427
92
70
44
476
19
55
70
595
6
7
114
351
10
0 100 200 300 400 500 600 700
Bahrain
Egypt
Jordan
Kuwait
Lebanon
Morocco
Oman
Palestine
Qatar
Saudi Arabia
Sudan
Syria
Tunisia
UAE
Yemen
Saudi Arabia takes thelead with the most broadband lines…
Source: Arab Advisors Group
Broadband Accounts (000s) by end of 2007
7.0%
0.6%
1.6%
2.1%
1.0%
1.5%
0.7%
1.5%
5.3%
2.4%
0.0%
0.0%
1.1%
7.8%
0.1%
0.0% 2.0% 4.0% 6.0% 8.0% 10.0%
Bahrain
Egypt
Jordan
Kuwait
Lebanon
Morocco
Oman
Palestine
Qatar
Saudi Arabia
Sudan
Syria
Tunisia
UAE
Yemen
…While UAE has the highest broadbandpenetration
Source: Arab Advisors Group
Broadband Penetration (%) by end of 2007
17.3% 19.0%
31.5% 31.4%
51.1%
34.7%38.8%
20.7%17.6%
42.7%47.3%
31.7%
23.3%26.9%
107.1%
0%
20%
40%
60%
80%
100%
120%
Bah
rain
Eg
yp
t
Jord
an
Ku
wait
Leb
an
on
Mo
rocco
Om
an
Pale
stin
e
Qata
r
Sau
di
Ara
bia
Su
dan
Syria
Tu
nis
ia
UA
E
Yem
en
Arab Advisors projects Syria’s broadband CAGR to be the highest between 2008-2012
as it is starting from a very low base
Source: Arab Advisors Group
Compound Annual Growth Rate (CAGR) 2008 - 2012
Some Primary Research Findings from Arab Advisors’
Major Telecom Surveys
63.4% of Egyptian households with ADSL, share the ADSL connection with neighbors.
Source: Egypt Households Telecoms and Media Survey 2008, Arab Advisors Group
Note: Percentages are calculated from the 131 households who have an ADSL connection.
Yes, 63.4%
No, 36.6%
Whether household with ADSL connection shares it with neighbors
Awareness of 3G services
Source: Arab Advisors Group survey reports, check www.arabadvisors.com
70.7%
56.0%
57.0%
58.8%
45.3%
34.2%
80.6%
0% 20% 40% 60% 80% 100%
Tunisia
Bahrain
Egypt
Lebanon
Kuwait
J ordan
Qatar
Percentage of cellular users who are aware of 3G services
12.8% of Lebanon’s GSM users share their phone lines with other members of their families.
Source: Lebanon Cellular Users Survey December 2007
Occasionally , 3.7%
Daily, 1.7%
Rarely, 7.5%
Never , 87.2%
Audio/Video streamers through the Internet
Note: Percentages are calculated out of those who use InternetSource: Arab Advisors Group survey reports, check www.arabadvisors.com
Percentage of Internet users who use it for Audio/Video streaming
18.9%
23.3%
28.0%
24.8%
38.4%
45.2%
43.5%
52.2%
15.0%
34.7%
0% 10% 20% 30% 40% 50% 60%
Bahrain
Egypt
Saudi Arabia
Kuwait
Qatar
UAE
Tunisia
1948 Arabs
Lebanon
J ordan
Arab Advisors Group
Arab Advisors Group provides reliable research, analysis andforecasts of Arab communications, media, technology andfinancial markets markets.
This presentation draws from close to 1,250 reportsPublished by Arab Advisors Group’s team. Proudly servingclose to 485 regional and global clients.
www.arabadvisors.comTel: 962.6.5828849Fax: 962.6.5828809