Health Ministry launches World Health Survey 2025 Survey to collect accurate health status database of Saudi population    Dr. Al-Rabeeah at UK House of Lords: Saudi Arabia provides $134 billion in aid to 172 countries in 30 years    Saudi Arabia receives first Hajj 2025 pilgrims from multiple countries    3rd phase of Vision 2030 to focus on sustaining transformation and capitalizing on emerging growth opportunities    Housing minister expects moderate real estate prices in Riyadh    Travel mayhem in Spain and Portugal as power outage grounds flights, paralyzes train networks    Saudi Arabia at ICJ: Israel turns Gaza Strip into a pile of rubble    SR200,000 reward for each player of the Saudi club winning AFC Champions League title    William and Kate celebrate anniversary on Isle of Mull    Hope and fear as tourists trickle back to Kashmir town after attack    Israel spy chief to step down after row with Netanyahu exposes deepening rifts    Localization in Saudi military industries rises to 19.35%    Logistics park for vehicles worth SR300 million to be set up at Dammam port    HONOR KSA expands its presence with new flagship Experience Store in Riyadh HONOR's first flagship store in KSA provides visitors with a premium experience, exciting offers and free services    Al-Falih: Eastern Province hosts 700 investment opportunities worth SR330 billion    Rock & Roll Hall of Fame picks Outkast but not Oasis    Al Ahli cruise past Buriram into AFC Champions League Elite semi-finals    Duran leads Al Nassr past Yokohama Marinos into AFC Champions League Elite semi-finals    Saudi orchestra to perform at Sydney Opera House in May    Al Hilal thrash Gwangju to reach AFC Champions League Elite semi-finals    Pakistani star's Bollywood return excites fans and riles far right    Veteran Bollywood actor Manoj Kumar dies at 87    Bollywood actress vindicated over boyfriend's death after media hounding    Grand Mufti rules against posting prayers and preaching in mosques on social media    Exotic Taif Roses Simulation Performed at Taif Rose Festival    Asian shares mixed Tuesday    Weather Forecast for Tuesday    Saudi Tourism Authority Participates in Arabian Travel Market Exhibition in Dubai    Minister of Industry Announces 50 Investment Opportunities Worth over SAR 96 Billion in Machinery, Equipment Sector    HRH Crown Prince Offers Condolences to Crown Prince of Kuwait on Death of Sheikh Fawaz Salman Abdullah Al-Ali Al-Malek Al-Sabah    HRH Crown Prince Congratulates Santiago Peña on Winning Presidential Election in Paraguay    SDAIA Launches 1st Phase of 'Elevate Program' to Train 1,000 Women on Data, AI    41 Saudi Citizens and 171 Others from Brotherly and Friendly Countries Arrive in Saudi Arabia from Sudan    Saudi Arabia Hosts 1st Meeting of Arab Authorities Controlling Medicines    General Directorate of Narcotics Control Foils Attempt to Smuggle over 5 Million Amphetamine Pills    NAVI Javelins Crowned as Champions of Women's Counter-Strike: Global Offensive (CS:GO) Competitions    Saudi Karate Team Wins Four Medals in World Youth League Championship    Third Edition of FIFA Forward Program Kicks off in Riyadh    Evacuated from Sudan, 187 Nationals from Several Countries Arrive in Jeddah    SPA Documents Thajjud Prayer at Prophet's Mosque in Madinah    SFDA Recommends to Test Blood Sugar at Home Two or Three Hours after Meals    SFDA Offers Various Recommendations for Safe Food Frying    SFDA Provides Five Tips for Using Home Blood Pressure Monitor    SFDA: Instant Soup Contains Large Amounts of Salt    Mawani: New shipping service to connect Jubail Commercial Port to 11 global ports    Custodian of the Two Holy Mosques Delivers Speech to Pilgrims, Citizens, Residents and Muslims around the World    Sheikh Al-Issa in Arafah's Sermon: Allaah Blessed You by Making It Easy for You to Carry out This Obligation. Thus, Ensure Following the Guidance of Your Prophet    Custodian of the Two Holy Mosques addresses citizens and all Muslims on the occasion of the Holy month of Ramadan    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



MENA telecom revenue to hit $96 billion in 2017
Published in The Saudi Gazette on 02 - 12 - 2012

JEDDAH – Telecoms revenue in the Middle East and North Africa (MENA) region is expected to grow by 27 percent, at a compound annual growth rate (CAGR) of 5 percent, over the next five years to hit $96.4 billion in 2017 from $70.3 billion in 2011, Analysys Mason said in its report “The Middle East and North Africa Telecoms Market: Trends and Forecasts 2012–2017”.
The fastest growth area during the forecast period will be mobile data services, with handset data revenue set to grow at a CAGR of 17.9 percent between 2012 and 2017, the report said.
However, growth rates in subscriber numbers will continue to decline, as will mobile voice prices, it added.
The penetration rates of active SIMs in Morocco, Saudi Arabia and the UAE already exceed 100 percent of the population, and will surpass 100 percent in Algeria in 2012 and Egypt in 2014.
The report forecast that the number of 2G connections will peak in 2015, at which point 3G and 4G connections will start to take over. Specifically, 3G will be the dominant network technology, reaching 192 million SIMs (43 percent of all SIMs in the region) by 2017.
Even though 4G connections will grow at a CAGR of 122 percent between 2012 and 2017, 4G will only account for 10 percent of SIMs by 2017, and will not launch in Egypt until 2013 and Morocco in 2014, the report said.
Average revenue per user (ARPU) within the region generally correlates to GDP per capita. UAE has the second-highest GDP per capita, and the highest ARPU ($37 per month in 2011), which is nearly three times the regional average. The ARPU in the lowest-income country, Egypt, is lower than half the average (at $5.5 in 2011).
The number of broadband connections grew strongly between 2009 (15 million) and 2011 (28 million), and the report predicts that the number of connections will nearly double again by 2017. Of these, 69 percent will be mobile-based, added the report.
Mobile will continue to dominate the voice market in Mena because of limited fixed infrastructure, as well as the geography and demographics of the region. In 2009, 82 percent of voice connections were mobile, increasing to 86 percent by 2011. This will grow further to 91 percent by 2017, the report said.
Mobile's growing dominance is also evident in the split of voice traffic volumes. Fixed traffic declined at a CAGR of –4.3 percent from 2008 to 2011 and will continue to decline at a CAGR of –2.4 percent from 2012 to 2017.
In contrast, the volume of mobile voice traffic grew at an average of 19 percent per year between 2008 and 2011, and will continue growing at a CAGR of 5.8 percent in the next 5 years. By 2017, 87 percent of traffic will be mobile-originated, compared to 79 percent in 2011.
The report said that any new subscribers will have low incomes and usage, and are therefore very likely to chase deals. Operators in the region will be increasingly pressured to reduce their mobile voice tariffs in the face of over-the-top voice and messaging services.
“Given these declines, operators will look to increase the average revenue per user (ARPU) of their higher-value customer base by encouraging greater mobile data usage,” said Roz Roseboro, principal analyst for The Middle East and Africa research program.
“Because the growth in subscriber numbers is slowing, operators will also focus on retaining their customer base, although this will be difficult because the newer, lower-income subscribers tend to be less loyal than the established higher-end ones.”
“ARPU has declined from $15.3 per month in 2009 to $12.5 in 2011,” Roseboro said. “This decline will level off towards 2017, when it will be $11.0 in 2016 and $10.9 in 2017.” — SG


Clic here to read the story from its source.