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GSMA published its first in-depth assessment of the impact of the mobile industry on the Arab States, highlighting the explosive growth of mobile services in the region. Based on research from Deloitte, the GSMA Arab States Mobile Observatory details a 32% average annual growth in mobile connections over the past 10 years, soaring from 19 million connections in 2002 to 391 million in 2012.
However, the report also identifies fundamental challenges that put the continued growth of the sector at risk, including limited spectrum availability, high taxation and stifling regulation.
The rapid pace of mobile adoption has delivered substantial economic benefits for the region, contributing $132 billion to the economies of the Arab States, or approximately 5.5% of total GDP, in 2011.
In addition, the mobile industry has contributed to employment in the region, helping create more than 1.2 million jobs in 2011. This figure is a combination of direct employment by mobile operators, jobs across the mobile ecosystem and the multiplier effect caused by the positive business impact of the mobile ecosystem on wider industries. What’s more, if additional harmonized spectrum were allocated to mobile broadband, 5.9 million additional jobs could be created by 2025, according to the study.
Mobile broadband connections across the Arab States are expected to increase by a staggering 255% by 2017, rising from 40 million in 2011 to 142 million. Already, mobile broadband connections have outstripped fixed-line connections by over 350%.
However, to extend mobile penetration and capacity, as well as reap the associated economic benefits, governments in the region urgently need to deliver adequate spectrum, including the Digital Dividend, 2.6GHz and 1.8GHz bands.
Finally, the study points out the urgent need for governments to revise mobile taxation and regulatory regimes across the region… You can get the full report from here.
About The Author
Dusan Belic
Dusan has been using smartphones since their introduction and is now following the latest trends in the industry. The "convergence" is what he's most excited about, and writing about it is the next logical thing to do. He thinks that using a smartphone is what everyone who cares about their time should do. In addition to his interests in mobile phones, Dusan also loves to experiment with the latest web and mobile 2.0 services. The idea of accessing and managing your information from any device no matter where you are simply amazes him. Whether it's an online to-do list, note taking service or a video sharing social network, he's there to try it out. He admits though, he's still searching for the ultimate web-based organizational tool, which "sings" perfectly with the mobile PIM application. Dusan used to run SymbianWatch.com which later became part of IntoMobile. He lives in Serbia, South-East Europe, from where he edits the site on a daily basis.
