2016 Morocco - Telecoms, Mobile, Broadband and Digital Media - Statistics and Analyses

Moroccan government progresses with telecom projects to carry it through to 2022

Morocco retains one of the most advanced telecommunications markets in Africa, featuring a majority-privatised, profitable incumbent telco in Maroc Telecom and three fixed and mobile network operators. Maroc Telecom has undergone a strategic review following its acquisition of Etisalat’s mobile businesses in several markets in the region. These additional international markets are providing a welcome boost to the company’s overall revenue. A key regional player, Orange Group, has become a majority stakeholder in the telco Médi Telecom, which is in the process of being rebranded as Orange Morocco.

The country also has one of the highest mobile penetration rates in the region as well as some of the lowest prices for broadband internet access, despite there being relatively little competition in the fixed-line broadband sector. Competition in the provision of DSL services intensified during 2016 following the launch of services by other players, including Orange Morocco which is committed to investing in a range of bundled service offerings during the next few years.

To accommodate growing voice and internet traffic operators have upgraded their fibre optic national backbone networks and international connectivity. In combination with upgraded fibre backhaul, expanding LTE services have facilitated the take-up of mobile broadband in regional areas, and so contributed to the governments aims as drawn up in its National Broadband Plan through to 2022. Licence conditions will ensure that LTE covers at least 65% of the population by 2020. This infrastructure, and anticipated subscriber take-up, will further consolidate the dominance in mobile players in the broadband sector. Indeed, mobile internet accounts for about 92% of all internet connections, leaving Maroc Telecom’s DSL service with most of the remaining market. The dominance of mobile internet access is likely to continue given the improvements in LTE reach and capabilities, and the preference among consumers to adopt mobile solutions for both voice and data.

To accommodate the increasing amount of internet traffic, fibre optic national backbone networks and international connectivity are being expanded. A National Broadband Plan was launched in 2012, aiming to provide fixed or mobile broadband access to the entire population by 2022.

This report contains an overview and analysis of Morocco’s telecoms sector, including updated statistics, assessments of recent regulatory measures, details on licensing regimes and spectrum auctions, and profiles of the major players.

Key developments:

• Regulator awards LTE spectrum to the three MNOs at auction;
• MNP process amended to hasten number portings;
• Maroc Telecom launches LTE-A services;
• Méditel rebranding as Orange Morocco;
• Etisalat sells its West African mobile operations to Maroc Telecom for €650 million;
• New SIM card registration regulations take effect;
• Government progresses with several telecom projects to carry it through to 2022;
• Maroc Telecom designated as having SMP in several market areas;
• Satellite telecom licenses awarded;
• New cable connecting Mali and Morocco is lit;
• Amendment to Telecommunications Act aimed at giving greater powers to the regulator;
• National Broadband Plan making progress;
• Maroc Telecom launches 100Mb/s FttP service in several major cities;
• Minister of Industry issues decree defending regulator’s ban on VoIP services;
• Maroc Telecom launches subscription VoD service;
• Regulator endeavours to enforce LLU tariffs and provisions on Marco Telecom to open up the DSL market to competitors;
• Mobile broadband captures 92% of the internet market;
• Report includes the regulator’s market data to June 2016, telcos’ financial and operating data to Q3 2016, recent market developments.

Companies mentioned in this report:

Maroc Telecom (Menara, IAM), Médi Telecom (Méditel), Inwi (Wana, Maroc Connect), Morocco Trade and Development Services (MTDS), Maroc Telecom, Orange Group, Vivendi, Zain