Summary
Our annual publication, UAE-Telecoms, Mobile and Broadband, provides a comprehensive overview of the trends and developments in the telecommunications and digital media markets in the United Arab Emirates (UAE).
The UAE is one of the most advanced markets in the Middle East but is the least liberalised with little competition and no foreign investment. All other countries in the region have allowed operators from the region or further afield to buy (or in the case of Lebanon, operate) second and/or third mobile licences and, in some cases, fixed-line and Internet provision licences but the UAE market is served by only two operators, both of them operating in all sectors and both of them majority government-owned.
That said, second operator du, launched in 2007, is gaining ground despite inter-connection difficulties and no number portability. It also made a profit for the first time in the last quarter of 2008 and has continued to do so since. It is helped in the mobile market by the UAE's very high expatriate population (around 80% of the total), which provides a pool of constantly changing potential new subscribers. This fluid expatriate population may also be a factor in the UAE's very high mobile penetration rate, of over 200%.
du's fixed-line and broadband Internet services, together with TV, are provided over its FttH network, which serves new developments in Dubai. Etisalat is also building an FttH network, with which it aims to cover the majority of the country by end-2011. Etisalat expects to complete the Abu Dhabi stage by end-2009 and claims that Abu Dhabi will be the first capital city in the world to be completely served by FttH. By mid-2009 both Etisalat and du claimed their networks were available to over 300,000 homes.
Internet and broadband penetration rates are higher than most countries in the region, with only Qatar at similar levels. Internet penetration is at least 60%. A 2008 survey by the regulator, the TRA, found that 66% of all households in the UAE had Internet access and 83% of UAE national households had Internet access, of which 95% was broadband.
Government policies over many years have given great encouragement to increase levels of ICT development. Many of the region's major digital media companies are based in the UAE, particularly in Dubai. These include Tejari, a major portal for all Business-to-Business (B2B) e-commerce transactions. Both federal and emirate governments have invested considerable sums in e-government.
In addition, around 25% of the region's burgeoning Free-to-Air and pay DTH satellite TV channels are based in the UAE. While most of the TV in the Middle East is FTA DTH and is pan-regional in production and availability, the UAE has higher pay-TV subscriber numbers than most other countries in the region due to a ban on ‘unsightly' satellite dishes in many areas. Subscribers access either the cable network of Etisalat's subsidiary e-vision or the IPTV offered by du.
Key highlights:
* Second telco du has made a surprisingly large impact, winning a 30% share of the mobile market by mid-2009 plus a 10% share of the fixed-line and broadband Internet markets.
* Etisalat is investing in an FttH network. At April 2009 Etisalat claimed it had connected 300,000 homes, with the whole of Abu Dhabi expected to be completed before end-2009. Work will commence later in Dubai and Sharjah. Completion is expected by 2011.
* The UAE has sky-high mobile penetration of over 200%.
* Etisalat is a major international player, with operations in 17 countries outside its home market, in Africa, Asia and elsewhere in the Middle East. It claims to be one of the most profitable telcos in the world in mid-2009.
* The ban of VoIP services is a very contentious issue.
UAE-key telecom parameters-2008-2009
Sector | 2008 | 2009(e) |
Fixed-line services: |
* Total subscribers (million) | 1.51 | 1.5 |
* Annual growth | 9% | 0% |
* Fixed-line penetration (population) | 32% | 32% |
Broadband Internet: |
* Total subscribers (million) | 0.53 | 0.69 |
* Annual growth | 39% | 30% |
* Broadband penetration (population) | 11% | 14% |
* Broadband penetration (household) | 60% | 75% |
Mobile services: |
* Total subscribers (million) | 9.78 | 9.5 |
* Annual growth | 29% | -3% |
* Mobile penetration (population) | 206% | 200% |
* 3G subscribers as a percentage of total | 26% | 28% |
Data in this report is the latest available at the time of preparation and may not be for the current year.
Table of Contents
1. Key Statistics
1.1 Country overview
2. Telecommunications Market
2.1 Overview of UAE's telecom market
2.2 Market analysis-2009
3. Regulatory Environment
3.1 Background
3.2 Regulatory authority
3.3 Liberalisation
3.3.1 Interconnection and access
3.3.2 Number Portability (NP)
3.4 VoIP prohibited
4. Telecom Operators in UAE
4.1 Emirates Telecommunications Corporation (Etisalat)
4.1.1 Etisalat International
4.2 Emirates Integrated Telecommunications Company / du
4.3 TECOM Investments / Dubai Holding / Emirates International Telecommunications (EIT)
4.4 UAE investment companies owning telcos outside the UAE
4.4.1 Abu Dhabi Group / Warid Telecom / Wateen Telcom
5. Telecommunications Infrastructure
5.1 National telecom networks
5.2 Infrastructure developments
5.2.1 Next Generation Networks (NGNs)
5.3 International infrastructure
5.3.1 Submarine cable networks
5.3.2 Satellite networks
6. Broadband and Internet Market
6.1 Internet overview
6.1.1 Censorship and site blocking
6.1.2 Dubai Internet City (DIC)
6.1.3 Internet Statistics
6.2 Internet access locations
6.3 ISP market
6.4 Digital economy
6.5 Broadband market overview
6.6 Fibre to the Home (FttH)
6.7 Asymmetrical Digital Subscriber Line (ADSL)
6.8 Cable modems
6.9 Wireless broadband
6.9.1 WiFi
6.9.2 WiMAX
6.9.3 Mobile broadband
6.9.4 Internet via satellite
7. Convergence
7.1 Overview of media convergence
7.2 Triple play
7.3 VoIP
8. Digital Media
8.1 Overview of broadcasting market
8.1.1 Media Zones
8.1.2 Arab Media Group
8.1.3 Abu Dhabi Media Company (ADMC)
8.2 Digital TV
8.2.1 Satellite-based digital pay TV developments
8.2.2 Cable TV-e-vision
8.2.3 High Definition TV (HDTV)
8.2.4 Broadband TV (IPTV)
9. Mobile Communications
9.1 Overview of UAE's mobile market
9.1.1 Mobile statistics
9.2 Regulatory issues
9.2.1 Overview
9.2.2 Number portability
9.3 Mobile technologies
9.3.1 Analogue and digital
9.3.2 Third generation mobile
9.4 Major mobile operators
9.4.1 Etisalat
9.4.2 Emirates Integrated Telecommunications Company / du
9.5 Mobile voice services
9.5.1 Prepaid
9.5.2 Satellite mobile
9.6 Mobile data services
9.6.1 Short Message Service (SMS)
9.6.2 Multimedia Messaging Service (MMS)
9.6.3 Push-to-talk (PTT)
9.6.4 BlackBerry
9.6.5 iPhone
9.6.6 Mobile content and applications
10. Glossary of Abbreviations
Table 1-Country statistics United Arab Emirates-2008
Table 2-Telephone network statistics-2008
Table 3-Internet user statistics-2008
Table 4-Broadband statistics-2008
Table 5-Mobile statistics-2008
Table 6-National telecommunications authority
Table 7-Etisalat group revenues and divisional representation-2005-2009
Table 8-du revenue and profit / loss-2006-2009
Table 9-Fixed lines in service, teledensity and subscribers by operator-1995-2009
Table 10-Internet user and penetration estimates-1995-2008
Table 11-Internet subscribers: Etisalat and total-2000-2009
Table 12-Dial-up Internet subscribers-2000-2008
Table 13-Broadband subscribers by operator-2000-2009
Table 14-du IPTV subscribers-2008-2009
Table 15-Mobile subscribers and penetration rate-1995-2008
Table 16-Mobile operators, subscribers and annual change-2008
Table 17-Mobile operators' market share-2007-2009
Table 18-3G subscribers as a percentage of total subscribers-2007-2008
Table 19-du revenue and profit / loss-2006-2009
Table 20-Prepaid subscribers-2005-2008
