Algeria’s fixed-line penetration was in decline for a number of years before the trend was reversed in 2015. This recovery was short lived, with the momentum for growth offset by the prevalence of more capable mobile networks which have attracted a growing proportion of people to adopt mobile solutions for voice and data services. Nevertheless, government-funded efforts are continuing to ensure that fixed-line infrastructure is extended to underserved areas. This project, accounting for about 500 remaining communities, forms part of the Universal Service Telecommunications (UTS) program. Three Universal Service Telecommunications licences were awarded in early 2016, with licensees obliged to provide fixed and wireless telecoms services to all communities.
The country’s relatively well-developed infrastructure includes a national fibre backbone which was augmented with a new subsea link to Valencia in April 2017. Algeria is also part of the 4,500km terrestrial Trans-Saharan Backbone network which will connect the national network with other fibre networks in the region.
Mobile penetration is growing slowly, a sign that some level of market saturation has been reached. The regulator was slow to issue 3G licences, while LTE licensees did not launch services until September 2016. Despite this tardiness, there have been significant gains in the adoption of LTE services. Coverage obligations, together with investments made in the intervening months, will ensure that LTE services will be extended rapidly in coming years in a bid to secure national internet coverage by the 2022 target.
Algérie Télécom, Lacom
Table of Contents
Number of pages 22
Last updated 19 Sep 2018
Analyst: Henry Lancaster
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