BMI View: Armenia's telecommunications market is small and highly saturated thanks to earlyliberalisation of the mobile, voice and Internet markets. There are few opportunities for new entrants, giventhe dominance of incumbent ArmenTel in the wireline voice arena and VivaCell-MTS in the mobile market.
However, relative newcomer Orange could capitalise on interest in its mobile broadband services followingthe introduction of mobile number portability in 2014 and the enterprise wireline broadband market is ripefor exploitation. The challenger here is independent player U-COM, which has a large Internet andtelephony user base and gained a mobile licence in 2013. The downside is that the new entrants areundercutting each other on pricing and it will be increasingly difficult to derive meaningful returns oninvestment over the next five years.
Mobile subscriptions forecast to rise from 3.418mn in 2013 to 3.472mn in 2018. Slow expansion is due tomarket saturation and a new focus on extracting greater value from existing customers. The closure oflarge numbers of inactive mobile accounts is also likely over the five-year forecast period.
PDF E-mail From Publisher
PDF E-mail From Publisher - 3 User License
PDF E-mail From Publisher - 5 User License
PDF E-mail From Publisher - Departmental/Site License