A report on Mobile Communications and Mobile Data Market Middle East 2008

This Middle East market report covers the mobile telephony and mobile data markets in each of the following countries: Bahrain, Egypt, Iran, Iraq, Israel, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Syria, Turkey, UAE and Yemen. Across most countries of the Middle East, including even some of the most highly penetrated, growth rates are surprisingly high. This is mostly due to a recent increase in competition – a second or third operator has entered the market or a new investor has bought a share of an existing operator – causing a subsequent drop in tariffs or improvement in services. Multi-SIM ownership is common as subscribers aim to maximise special offers and different deals. The region’s mobile markets include:

Iran

Iran started proceeding in August 2008 to auction a third mobile licence. Mobile subscriber numbers in Iran grew hugely after the launch of second operator MTN and there remains room for more growth but MTN’s path to launch was torturous, a fact that may discourage some bidders. Russian operators may be interested in the licence.

Iraq

With little fixed-line infrastructure, Iraqis have taken to mobile use with great enthusiasm, creating penetration levels fast approaching 50% in mid-2008, having grown from zero in only four years. The previously three roughly equal operators have been reduced to two (one of them twice as large as the other) since the award of new 15-year licences but so far the reduction in competition has had no bad effect on growth, which has accelerated considerably in 2008, probably due to the improving security situation.

Israel

The Israeli government is moving to create a wholesale market in all sectors of communications, which will lead to change in the mobile sector after a long period of stability. While Israel already has very high levels of mobile penetration, its three roughly equal operators plus one much smaller operator, MIRS, have seen little change in their market shares for some years. The government is expected to issue MVNO licences. In addition, WiMAX frequencies are to be auctioned with MIRS (wholly owned by Motorola) a likely winner. Meanwhile, 3G subscriber levels made up around 25% of total subscribers in early 2008 and revenue from mobile data constituted around 15% of total revenue.

Qatar

Qatar is currently the only market in the region with a single operator but this is about to change in early 2009 when second-licence winner Vodafone Qatar is due to launch. Qatar’s mobile penetration was already well above 120% in early 2008, leaving little room for Vodafone. Vodafone has experience in the region with operations in Egypt and Turkey but will be the first non-Middle East based operator in the GCC countries.

Saudi Arabia

Since the launch of second operator, Mobily, mobile subscribers have grown rapidly, leading to penetration levels similar to those of the smaller GCC states, at well over 100%, despite Saudi Arabia’s much higher total population. With third operator Zain’s launch in August 2008 the market is about to become even more competitive, particularly as it is the only market where three of the region’s major operators – Etisalat of the UAE, Zain of Kuwait and STC on its home turf – go head to head.

UAE

Mobile penetration levels in the UAE are quite spectacular, claimed as being over 175% in March 2008. Growth has been astonishing since the launch of second operator du. 3G subscribers make up over 25% of the total.

For those needing high level strategic information and objective analysis on the mobile telephony and mobile data markets in the Middle East, this report is essential reading and gives further information on:

• Mobile operators – acquisitions, mergers, and competition;
• Government policies and regulatory issues;
• Past and planned licence auctions;
• Technological developments in the mobile telephony and mobile data markets.

Data in this report is the latest available at the time of preparation and may not be for the current year.

This annual report offers a wealth of information on the mobile markets in the Middle East. Counties covered: Bahrain, Egypt, Iran, Iraq, Israel, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Syria, Turkey, UAE and Yemen. Subjects covered include:

• Mobile statistics and trends;
• Mobile operators;
• Spectrum and licence auctions, developments, national policies;
• Infrastructure, GSM, CDMA, 3G, HSDPA;
• Trends in the prepaid sector;
• Mobile satellite services;
• Mobile data markets;
• Mobile TV.

Researcher:- Tine Lewis

Current publication date:- September 2008 (7th Edition)

Next publication date:- August 2009

Author:
Mike King
Web: www.companiesandmarkets.com
Phone: 07813 784393

Mobility Services Sweden - TeliaSonera is going to build commercial 4G network for there customers

Ericsson (NASDAQ: ERIC) and TeliaSonera today announced the signing of a commercial LTE network. The roll-out of the 4G mobile broadband network will offer the highest data rates ever realized, with the best interactivity and quality. This network will cover Sweden's capital Stockholm and the contract is Ericsson's first for commercial deployment of LTE.

Your friends on your social networking site will always be just a click away. You can read on-line multimedia newspapers effortlessly and even watch your favorite on-demand TV show in HD (High Definition) quality wherever you are, whenever you find time.

These functions can be possible for mobile broadband customers in the 4G network, based on LTE. The new 4G network will do for broadband what mobile telephony did for voice. With real-time performance, and about 10 times higher data rates compared to today's mobile broadband networks, consumers can always be connected, even on the move.

Erik Hallberg, Senior Vice President and Head of Mobility Services Sweden, TeliaSonera says: "Our customers are among the world's most advanced users of telecommunications services. With 4G, we will provide them with the best mobile broadband capabilities they can get. We have chosen Ericsson as our partner because of its impressive track record in mobile technology, strong focus on LTE development and early deployment capabilities."

Mikael Bäckström, President Ericsson Nordic and Baltics says: "We are very happy to continue our partnership with TeliaSonera, and this cooperation signifies an important milestone. LTE brings the highest possible performance and network capacity, which is needed to meet the needs of the fast growing group of mobile broadband users around the world." .....>>>>>

Nasdaq-listed Sify Technologies is close to launching cheap BlackBerry - like services

Nasdaq-listed Sify Technologies is close to launching cheap BlackBerry - like services in the country that can be accessed even by entry-level handsets. The company has licensed London-listed mobile e-mail and synchronisation solutions provider Synchronica’s mobile gateway solutions for providing the services in the country.

Even though, Sify is not the first company to launch cheap BlackBerry-like services (Rajesh Jain-promoted Netcore Solutions had launched the services in June last year), the move is important as existing services are highly priced. Most importantly, the services (also known as push mail or e-mail on mobile services) can only be accessed only on high-end handsets. Moreover, the launch also comes at a time when the Indian government is seeking legal intrusion (monitoring of data) of BlackBerry services and demanding that Research In Motion, Canadian owners of the service, moves its servers to the country.

“Basically, the idea is to offer BlackBerry-like services on mass market products. At present, the biggest problem is the high cost of both the services and handsets, which is preventing a mass adoption of push mail services,” Synchronica CEO Carsten Brinkschulte told Business Standard over phone from London.

Even though, prices of the services are yet to be fixed in the country, it would be priced to suit the masses. Sify will launch the services in the next few weeks, Brinkschulte added....>>>>

New York Police Department wants the ability to interrupt mobile phone service and other electronic communications during terrorist attacks

The New York Police Department wants the ability to interrupt mobile phone service and other electronic communications during terrorist attacks.

Police Commissioner Raymond Kelly told the U.S. Senate Committee on Homeland Security that the November attacks in Mumbai illustrated the dangers of instant reporting from the field while an attack is unfolding.

The terrorists used cell phones and other devices to communicate while the attacks were in progress, Kelly said Thursday. Witnesses in India also provided instant updates on the situation using cell phones, digital photos on the Internet, and Twitter -- communicating what they saw as it unfolded.

That can present a real danger to police and military units, who obviously don't want the attackers to know that they are entering a building through a particular door with a particular set of weapons.

It's unclear if authorities in New York could cut off attackers' cell service and other electronic communications without causing wider disruptions.

I hope they can.

The NYPD allows people to send them texts and photos for crime tips now. Texts and images could allow tipsters to gather intelligence during an attack. I would also argue that, since many people have done away entirely with landlines, intentional disruptions could cut New Yorkers off from communication with family members and friends during emergencies.

Millions of New Yorkers used phones -- landlines and cell phones -- to let out-of-town relatives and friends, as well as each other, know that they were OK after the Sept. 11, 2001, attacks. In many cases, those in the middle of the chaos relied on those watching the news outside of New York City for information to help them decide whether to flee the island of Manhattan by ferry, to head uptown, or to stay put.

As a New Yorker, I can't imagine an attack without the ability to let my family know I'm OK or the ability to exchange information and offers of assistance with friends scattered throughout Manhattan.

Mobile Messaging in Western Europe - MMS growth to stay especially strong; SMS growth lower

As revenue growth from mobile voice services has fallen, carriers have looked to mobile data services to keep the money flowing. Mobile messaging has been one of the top mobile data services, and revenues from all types of messages sent on handsets have been rising.

The number of people in the UK, France, Germany, Italy and Spain sending SMS messages (aka short message service—think texts) across the EU is growing 3.3% annually, according to December 2008 data from Airwide Solutions. Airwide said that only users of MMS (multimedia messaging service—think pictures) were growing faster, at 9.2%.

UK mobile users alone sent 25 million text messages every day in 2008. Texting by mobile users with incomes of £30,000 ($55,200) and above is growing especially quickly, at 16.9% per year.

“Whilst an increase in mobile messaging traffic is certainly good news for the industry, it also underlines the need to ensure that an operator’s underlying infrastructure is efficient and equipped to support the increase in traffic volumes over the years ahead,” said Jay Seaton, CMO at Airwide, in a statement.................Read full report