In the Arab World: ADSL is cheapest in Morocco and most expensive in Iraq
Iraq and Lebanon have the highest ADSL fees, while Morocco and Egypt have the lowest fees. When rates are analyzed in relation to GDP per capita in each country, the GCC countries and Morocco lead the pack. ADSL remains the prevailing Internet broadband technology in the Arab World. Uptake is strong in most countries especially as ISPs launch promotions and reduce their rates. The Arab Advisors Group has analyzed the ADSL service provision and rates in the following nineteen Arab countries: Algeria, Bahrain, Egypt, Iraq, Jordan, Kuwait, Lebanon, Libya, Mauritania, Morocco, Oman, Palestine, Qatar, Saudi Arabia, Sudan, Syria, Tunisia, UAE and Yemen. The Arab Advisors Group’s analysis revealed that the 1024 Kbps speed is the most common speed offered in the Arab region. The average total annual cost for the 1024 Kbps residential ADSL service in the Arab region stands at US$ 736.4 per year. Rates are lowest in Morocco followed by Tunisia, Egypt, Algeria, Jordan, Yemen, Palestine, Kuwait, Oman, Mauritania, Syria, Qatar, KSA, Libya, Bahrain, UAE, Sudan, Lebanon, while Iraq offers the highest rate. Libya does not have the 1024 Kbps ADSL speed; however, the Arab Advisors Group’s ranking for the country is based on extrapolating from its rates of other speeds. The research also revealed that ISPs tend to waive ADSL connection fees as part of their ongoing promotions. A new report, “ADSL Rates in the Arab World: A Regional Comparison 2010” was released to the Arab Advisors Group’s Telecoms Strategic Research Service subscribers on October 5, 2010. This report can be purchased from the Arab Advisors Group for only US$ 1200. The 34-page report, which has 20 detailed exhibits, provides a comprehensive analysis of the ADSL rates offered by the main ISPs in the Arab countries during September 2010. Moreover, the report details the availability of download speeds in each country of the aforementioned nineteen countries that offered the ADSL service. The report compared rates for the speeds of 512, 1024 and 2048 Kbps. Moreover, the report analyzed the availability of different download speeds in the 19 Arab countries. Any investment in this report will count towards an annual Strategic Research Service subscription should the service be acquired within three months from purchasing the report. Please contact the Arab Advisors Group to get a copy of the report’s Table of Contents. “It is noteworthy that Morocco’s total annual cost for 1024 Kbps speed is lower than Egypt’s 512 Kbps annual cost. Accordingly, Morocco has the lowest ADSL rates for the common speeds this report tackled although the 512 kbps speed is not offered in Morocco.” Alaa Numair, Research Analyst at Arab Advisors Group stated in the report. When including the GDP per capita in the analysis, the Arab Advisors Group concluded with the ADSL Affordability Measure (AAM). Basically, the total annual cost of ADSL in a country was calculated as a % of that country’s GDP per capita, whereby the higher the ratio the less affordable the service is in that country. “The countries that led ADSL Affordability Measure (AAM) were the GCC countries. Although they do not have the lowest rates, but they do have the highest GDP per capita, this is one reason why operators there do not reduce rates drastically as demand is guaranteed even at relatively higher rates.” Zeena Al Borgan, Arab Advisors Group’s Senior Research Analyst added.
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