UAE TRAs new data do not reflect major change

Wednesday, Apr 04, 2012

Gulf News

Dubai: The Telecommunications Regulatory Authoritys (TRA) new way of calculating the usage statistics does not reflect any change in the market dynamics, an industry expert said.

TRA has recalculated the mobile penetration using a higher country population compared to what it was using before. This could represent a more accurate mobile penetration level in the UAE, Bhanu Chaddha, IDCs Senior Research Analyst Telecommunications, Middle East, Africa and Turkey, told Gulf News.

According to TRA, the new methodology incorporates population statistics as reported by the UAEs National Bureau of Statistics (NBS) for 2006-2010.

In previous years (2007-2011), the TRA based its calculation for the monthly penetration of telecommunications services (fixed, mobile and internet) on the UAE population figures supplied by the Ministry of Economy. These figures were based on the last nationwide census undertaken in 2005 and updated annually using a TRA calculated yearly growth rate of six per cent.

The new methodology has resulted in a fall in penetration levels as reported on the TRAs website.

Commenting on the change in methodology, TRA Director-General Mohammad Al Ganem said: The TRA has made considerable effort to report true, accurate and robust telecommunications statistics. This has not only kept the market educated but has allowed key nation and international stakeholders to make informed decisions. With the adoption of the NBSs population figures, the TRA will continue to provide telecommunications statistics of the highest accuracy.

Despite the penetration rate being well over 100 per cent, Chaddha said the TRA has still reported an increase in the mobile subscriber base, indicating a high affinity to multiple SIM usage in the country.

This equation might change with the introduction of Mobile Number Portability. The operator would push primary SIM usage and we may see some rationalisation of mobile penetration, he said.

According to TRA, the new methodology incorporates population statistics as reported by the UAEs National Bureau of Statistics for 2006-2010.

By Naushad K. Cherrayil, Staff Reporter