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www.bharatbook.com : Middle Eastern Digital Media, Broadband and Internet Market
This Middle East market report covers the Digital Media, Broadband and Internet markets in each of the following countries: Bahrain, Egypt, Iran, Iraq, Israel, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Syria, Turkey, UAE and Yemen.
Internet and broadband penetration rates remain low in many countries of the Middle East, access speeds are often relatively slow and tariffs are relatively high compared with other regions in the world but the region is making a strong push towards higher broadband penetration. The young population will be a driver for growth as they grow up with Internet use as the norm. In addition liberalisation and increased competition are producing a greater variety of services and mediums.
While broadband growth has taken off in the small, oil-rich and developed countries of the Gulf, wide income disparities across the Arab Middle East region as a whole are echoed by wide disparities in Internet and broadband penetration rates. Computer penetration levels are generally low. Qatar, Bahrain and UAE all have high household broadband penetration, particularly among nationals. The largest country in the region, Saudi Arabia, has low broadband penetration but it is rising quickly.
ADSL is the prevailing broadband Internet technology in the region. Only in Israel does cable have a significant market share. Services are provided by HOT Cable Systems Media, which is subject to the same broadband universal service obligations as is DSL network operator Bezeq. This has resulted in broadband being available to 99% of all households. Much is being promised by WiMAX (News - Alert) across the Middle East region but projects have still to come to fruition.
All the GCC and Israeli operators, with the exception of recently launched Vodafone (News - Alert) Qatar, offer HSPA mobile broadband services. Mobile broadband prices in most countries remain relatively high but the introduction of some affordable, flat-rate pricing plans has encouraged higher take-up rates. Saudi Arabia’s second mobile operator, Mobily, said it could not cope with the level of demand when it introduced flat-rate price plans. It claimed to have 600,000 subscribers in June 2009. This subscriber number is very high when compared with a total of just over 1 million Saudi ADSL subscribers at end-2008.
One of the reasons for slow Internet and broadband subscriber growth in Arab Middle East countries has been a lack of sufficient content in Arabic for users to need a high-speed broadband connection in their daily lives. There has been too much emphasis on hardware and the latest must-have gizmo and not enough on creativity. This is beginning to change with the increasing digital content produced by the flourishing Direct-to-Home satellite TV sector, including entertainment, educational programming, news and sports. At least 60-70% of homes across the Middle East have access to multi-channel TV, much of it Free-to-Air DTH satellite. Around 70% of the 400+ channels are privately owned.
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