The Middle East ICT

Despite fierce competition in a crowded market, Saudi Arabia’s telecoms sector should see continued growth, driven largely by the expanding mobile internet and fixed broadband segments, according to recent reports from local investment groups. The Kingdom’s tech-savvy, high-income, younger generation, in particular, is earmarked to play a major part in boosting spending on data services and related products.

Despite achieving record growth in 2012, telecoms operators in the UAE have seen their profit margins affected by a new royalties programme introduced by the federal government. However, surging demand in Dubai for the latest mobile devices, particularly smartphones and tablets, as well as a more diversified range of value-added services, should result in in even greater growth and profitability in the coming years.

A new deal between local telecommunications firms and the Turkish government is expected to see the introduction of a new 4G network in Turkey by 2016. This move has been hotly anticipated by telecoms operators, as they will be able to expand their services and offer new products that take advantage of the improved network speeds.

The regulator of Bahrain’s telecommunications sector recently announced plans to unlock additional radio spectrum to improve speed and availability, news that has been much welcomed by sector players. However, how the bands will be allocated and to whom has not been made clear.