Egypt Telecommunications Report Q2 2016
BMI View: An elusive agreement between Egypt's three mobile operators and the government has delayed the implementation of a unified licensing framework, which would enable Telecom Egypt to launch MVNO services and allow the mobile operators to expand into the wireline market. Egypt's authorities and the country's telecoms operators are having a push to increase the uptake and quality of broadband services in the country. In November the Ministry of Communications & Information Technology (MCIT) announced plans to increase the country's internet penetration rate to 50% by the end of 2016 from 34% at present. The ministry also intended to add around 500,000 new internet users in the country by the end of 2015. MCIT expects to add 1.5mn broadband subscribers by the end of 2016, and also increase entry-level access speeds from 1Mbps to 2Mbps. Separately, government-backed Telecom Egypt (TE) reportedly aimed to replace copper cables with fibre optic cables for approximately 4mn households by the end of 2015. The move would allow TE to provide its subscribers with the latest communication services and techniques via boosting role of the fibre optic cables instead of the copper ones along with installing multi-service access node. BMI is predicting strong and steady growth in the uptake of broadband services, including wireline and mobile broadband offering, through to 2020. Improvements to infrastructure will contribute to the strong growth.
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