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Oman Telecommunications Report Q3 2009
Market |
Telecommunications |
Report Type |
Market Research |
Country |
Oman |
Published |
5 August 2009 |
Number of Pages |
72 |
Download |
|
Immediate |
|
Publisher |
Business Monitor International |
Oman Telecommunications Report Q3 2009: there were 32,447 broadband subscribers in Oman at the end of 2008
Our latest update on Oman’s telecommunications market includes expanded market data sections covering the country’s fixed-line and internet sectors. In June 2009, Qatar Telecom (Qtel), the parent company of Oman’s second-largest mobile operator Nawras, announced that Nawras had finally received its licence to provide fixed voice and internet services in Oman. The 25-year concession, which Nawras won in November 2008, allows Nawras to build the latest generation fibre-optic backbone and WiMAX wireless access networks across Oman. The operator will use its network to offer WiMAX-based broadband internet services, as well as voice telephony and international gateway services. Commercial services are expected to be launched before the end of 2009 .
The anticipated launch of fixed-line and internet services by Nawras has led BMI to make several important changes to Oman’s fixed-line and broadband subscriber forecasts. Our long-term fixed-line forecast for the country anticipates an annual average growth rate of 2.4% over the next five years .
However, although we forecast around 309,000 fixed-lines in service by the end of 2013, we remain sceptical as to whether fixed-line growth will be able to keep pace with the expanding population .
Meanwhile, the latest regulatory data suggest that there were 32,447 broadband subscribers in Oman at the end of 2008. This is equivalent to just 1.2% of the population. Broadband growth accelerated in 2008, with the development of ADSL infrastructure, the introduction of lower tariffs and a larger number of Wi- Fi hotspots all contributing to stronger growth. We expect the broadband market to receive an additional boost from 2010 onwards once Nawras launches its WiMAX network and starts to compete against fixedline incumbent Omantel. Although Nawras is expected to launch its network by the end of 2009, the effects of this development are not expected to become apparent until the following year .
Oman’s mobile market saw the arrival of new competition in May 2009, with the launch of commercial MVNO services by Majan Telecommunication. Majan will offer services in Oman under the Renna brand identity. The company, which has a wholesale agreement in place to use incumbent operator Oman Mobile’s network, will target ‘the untapped and underserved segments in the market’ with the aim of simplifying mobile tariffs, according to reports. The launch of Majan’s MVNO service came just a few weeks after the launch of services by rival MVNO Friendi Mobile. Friendi previously announced plans to promote itself as a ‘niche player’ in the prepaid consumer market. Like Majan, Friendi will also work with Oman Mobile to deliver its services .
Oman’s position remains unchanged in BMI’s latest set of Business Environment Rankings for the Middle East. This is in spite of a slightly higher Country Structure score which has boosted the overall score received by Oman.
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