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Iran Telecommunications Market Intelligence, 2011
Teyf Sharif Consulting, March 2011, Pages: 61
Iran with a population twice the whole GCC countries and twice as high as any other Middle Eastern countries with more than 60% population under 30 is making the country a quite interesting market bringing great opportunities for the market players and foreign investors. Currently, there is a very high penetration rate for fixed-line in Iran in comparison to other countries of the region and Iran possesses one of the largest mobile telecoms markets in Middle East region.
The provision of internet services in Iran is competitive with more than 1000 ISPs holding the responsibility to provide internet services but the case is such services are growing slowly due to lack of enough and interesting internet content available on the web, limitations and disabilities of the TCI network in providing suitable DSL services and high tariff rates in the market.
Currently, the competition in the broadband services sector is not very considerable since there are only four main providers. Recently, some actions are being taken to build and optimize infrastructure for provision of broadband services in the next five years and the Regulatory has decided to grant the license of offering WiMAX services to some private companies based on auction and then the license for the 3rd mobile operator.
Some other highlights of the present report:
- Currently, 11 companies hold PAP licenses that give them authority to transfer data through DSL network and, therefore, they are assumed as broadband operators in Iran
- Some active PAP companies have agreed with the Regulatory to launch wireless broadband networks in Tehran including WiMAX in the 3.5 GHz frequency band
- Predictions show that the penetration rate of mobile communications exceeds 80% in 2012
- Currently, more than 100 companies sell International VoIP cards and the government has announced to issue 4-5 VoIP licenses through holding bids for national use
- Currently the exclusive right of provision of voice services is reserved for the TCI Company
- International connection services are currently provided exclusively by Infrastructure Company of Iran
- The country has done great efforts to develop its optical-fiber network in its infrastructure network. Therefore, more than 36000 kilometers optical fiber in the backbone network and 45000 kilometers in cities have been installed
- Irancell as the 2nd mobile operator in Iran has started the provision of mobile internet, resulting in a fast development in the content services sector in the next five years.
- Currently, in small scales, some Irancell's mobile markets have been figured for offering content services through internet portals in the fields of short films, photo, music, SMS, etc
- Content services hold a considerable part of the revenue in the Iranian market, since Iranian subscribers are in favor of entertainment contents
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