Executive summary
BuddeComm’s annual publication, Bahrain - Telecoms, Mobile and Broadband, provides a comprehensive overview of the trends and developments in the telecommunications and digital media markets in Bahrain.
Bahrain is the smallest market in the Middle East by population size but it is also one of the most competitive. It was early to liberalise its market and has a well-established regulatory authority. It is also one of the better-documented markets in the region.
Incumbent Batelco shares the fixed-line market with competing operators providing international calling services using international direct dial, carrier pre-selection or prepaid calling cards. Introduction of number portability and commercially available unbundled services during 2011 has set the stage for tougher competition.
Competition accelerated in the broadband market with the launch of WiMAX services by two alternative operators. Mobile operators later launched competing mobile broadband services, with competition expected to intensify going into 2012 as mobile operators increasingly focus on mobile broadband. This infrastructure-led competition has led to wireless accounting for the majority of broadband connections. Recognising the importance of broadband for socioeconomic growth, Bahrain’s government has published a National Broadband Network (NBN) policy to improve broadband access.
In the mobile market Batelco and a subsidiary of Zain of Kuwait compete with recent market entrant Viva Bahrain, owned by STC of Saudi Arabia. As in other Gulf country markets, mobile penetration is at stratospheric heights. As with other high-expat markets however, the population turnover gives room for growth. Other future growth opportunities include the high proportion of prepaid users and relatively low mobile broadband penetration levels.
