At close to 100% penetration, subscriber growth in Algeria’s mobile market has slowed considerably, and the attention is shifting to maintaining or improving the average revenue per user which has continued to decline under intensifying price competition between the three networks: Algerie Telecom’s Mobilis, Orascom’s Djezzy, and Wataniya’s Nedjma. The operators have entered the underdeveloped internet market by launching basic mobile data services, but the licensing of third-generation spectrum has been delayed, which has made it difficult for them to fully compete in the broadband sector. However, 3G licences are now expected to be issued in 2013.
The market has been affected by the global economic crisis, and its recovery will in part depend on how the wave of social and political unrest currently sweeping the region will pan out. A shadow has also been cast on investor confidence by recent moves of the government to take control of the country’s leading mobile operator. However, should the mobile networks succeed in ending their price war and transforming themselves into converged service providers, absorbing much of the broadband internet market on top of the mobile voice market, the market still has enormous potential.
This report contains an overview of Algeria’s mobile market, analysis and key statistics, profiles of the major players, and scenario forecasts for 2013 and 2016.