Africa & Middle East Telecom Insider / Vol. 2, No 5, Edition 6 - 3G and WiMAX to Drive Broadband Services Growth Through 2014
Pyramid Research, Inc, July 2010, Pages: 18
Due to poor wireline services and innovative branding and packaging from mobile operators, the future growth of broadband in Africa and the Middle East will be driven by mobile broadband, with the subscriber total increasing at a CAGR of 34 percent to reach around 38 million by 2014, slightly faster than the global average, according to a new report.
3G and WiMax to Drive Broadband Services Growth Through 2014 examines the current and forecast broadband landscape in AME in terms of subscribers and revenue, and the report then looks more closely at the technologies that will enable this evolution on the mobile and fixed sides. Finally, we look at three key markets in more detail: the UAE, which exemplifies the most-developed parts of AME; Nigeria, which illustrates the underdeveloped, sub-Saharan region; and Turkey, which represents the region’s middle-income markets.
We expect broadband penetration in AME to grow at a CAGR of 20.4 percent from 2009 to 2014, despite the region's current financial, educational, and regulatory obstacles, notes Hussam Barhoush, analyst at Pyramid Research. Furthermore, AME is outpacing all developed regions in terms of growth in adoption of wireless technologies. "In higher-income countries, such as the UAE, we believe that growth will be driven by both mobile and fixed broadband. As for poorer countries with weak fixed-line infrastructure, wireless technologies will power future growth," he says.
"Fixed broadband providers in AME face the particular challenge of weak and limited coverage, especially in rural areas," says Barhoush. "This allows competition from other technologies, such as 3G and WiMax. ADSL is currently the main fixed broadband connection method used in the region." However, we believe that other technologies, such as FTTx and WiMax, will take as much as 17 percent of subscriptions by 2014.
Introduction
Broadband in AME: Limited to no competition on fixed-line infrastructure
A. Broadband adoption in the AME region
B. Wireless technologies will drive future broadband growth in the region
C. Fixed broadband in the AME: More technologies are emerging to compensate for the poor wireline infrastructure
Market detail
CASE STUDY: Etisalat FTTH plans to cover the whole of the United Arab Emirates by 2011
CASE STUDY: In less-developed sub-Saharan Nigeria, broadband growth will be driven by wireless technologies
CASE STUDY: In middle-income Turkey, broadband will remain predominantly fixed
Conclusions
Key findings
Recommendations
Related resources
Table of exhibits
Exhibit 1: Broadband penetration of population by region and CAGRs, 2009-2014
Exhibit 2: Total AME broadband subscriptions and broadband penetration rates, 2007-2014
Exhibit 3: Total AME broadband revenue, 2007-2014
Exhibit 4: Price of a $300 PC as a % of GDP per capita for select countries, 2009
Exhibit 5: Mobile and fixed broadband subscriptions, 2007-2014
Exhibit 6: Mobile and fixed broadband revenue, 2007-2014
Exhibit 7: AME fixed broadband accounts by technology, 2007-2014
Exhibit 8: UAE fixed and mobile broadband subscriptions, 2007-2014
Exhibit 9: UAE fixed and mobile broadband revenue, 2007-2014
Exhibit 10: Nigeria fixed and mobile broadband subscriptions, 2007-2014
Exhibit 11: Nigeria fixed and mobile broadband revenue, 2007-2014
Exhibit 12: Turkey fixed and mobile broadband subscriptions, 2007-2014
Exhibit 13: Turkey fixed and mobile broadband revenue, 2007-2014
Africa and the Middle East (AME) — a region in which we include Africa, the Gulf, the Levant, Iran and Turkey — is an area with limited-to-no wireline connectivity, especially in rural areas, while cellular operators actively provide their services. Broadband adoption lags other regions, but we project that broadband Internet lines (including wireless technologies) in AME will reach a total of 81.8m lines by the end of 2014.
AME has the lowest broadband penetration rates on the globe. North America and Western Europe lead, followed by Central and Eastern Europe (CEE). However, in terms of forecast subscriber growth rates, AME represents an attractive opportunity: We project the region’s CAGR between 2009 and 2014 to be 20.4% (see Exhibit 1). Furthermore, AME is outpacing all developed regions in terms of growth in adoption of wireless technologies. Although the mobile broadband markets in Latin America and CEE, with their comparatively higher GDP, will be growing slightly faster than that of AME, AME’s growth rate over the next four years will still exceed that of Western Europe and North America.
We expect broadband penetration in AME to rise from 2.6% in 2009 to 6.2% in 2014, driven primarily by slow but steady economic growth and the region’s favorable demographic environment, in which more than 40% of the population is under the age of 15. The growth will be driven by wireless technologies, such as WiMAX and 3G, in order to compensate for the weak wireline infrastructure. This Insider examines the current and forecast broadband landscape in AME in terms of subscribers and revenue and then looks more closely at the technologies that will enable this evolution on both the mobile and fixed sides. Finally, we look at three key markets in more detail: the UAE, which exemplifies the most-developed parts of AME; Nigeria, which illustrates the underdeveloped, sub-Saharan region; and Turkey, which represents the region’s middle-income markets.
- du
- EASSy
- Etisalat
Product Samples
A sample for this product is available. Please Login/Register to download this sample.
Customers who bought this item also bought
All rights reserved. © Copyright 2013 Research and Markets WWW4
Terms and Conditions Privacy Policy Publishers Employment Opportunities Site Map Link to us Webmaster Affiliate Network
