Telecommunications in the UAE

Telecommunications in the UAE

The UAE has a modern and sophisticated telecommunication sector that provides citizens and companies with a highly efficient and cost-effective communications network. In 2006, the General Policy for the Telecommunication Sector (GTP) was released by the Supreme Committee for the Supervision of the Telecom Sector (SCSTS), the goal being, among other things, to encourage competition between operating companies, foster innovation through research and development, develop a state-of-the-art telecommunications infrastructure, and contribute to economic diversification by promoting the UAE as an ICT hub. As a result, the UAE’s telecommunications market has demonstrated marked growth over the past few years, and the UAE, which has one of the most advanced telecom infrastructures in the Gulf, ranked number one among Arab Countries in Networked Readiness, according to the Global Information Technology Report, published in 2009 by the World Economic Forum.

One of the most wired nations in the region, the UAE has penetration figures of key services that are comparable to the most developed markets worldwide. In 2008, mobile penetration reached 203.8 per cent, with 9.8 million subscribers; in the first half of 2009, this number rose to 10.2 million. Fixed line penetration also increased in 2008 to 34.1 per cent, exhibiting growth of almost 20 per cent over 2007. Growth slowed in 2009, but the number of fixed line subscribers still rose marginally to approximately 1.68 million – up from 1.64 million in 2008. A residence visa is required to get a fixed line installed in the home, but a SIM card for the mobile phone can be purchased without residency.

The demand for internet services has also been on the increase, and the UAE is the most internet-wired among Arab nations, The UAE internet market, which is currently one of the most developed in the Middle East region, witnessed a growth of 32.7 per cent from 2007 to 2008. By the end of 2008, there were 1.2 million internet subscribers and approximately 1.3 million at the end of 2009. Though the majority of internet subscriptions are currently dial-up, broadband subscriptions are increasing in popularity, and by mid 2009, 47 per cent of all internet connections were broadband. It is expected that broadband connections will soon account for a solid majority of internet subscriptions, with the number of broadband subscribers growing at an average rate of 25.5 per cent over the next 5 years. Full dial-up/broadband substitution is not expected before 2015.

Currently there are two operators in the UAE market, the Emirates Telecommunications Corporation (Etisalat), and Emirates Integrated Telecommunications Company (EITC), which operates under the trade name of ´du´.

Related Links
www.etisalat.ae
www.du.ae