3G Services to Drive VAS Market in Saudi Arabia

Saudi Arabia is one of the largest telecom markets in the Middle East with the presence of region’s biggest telecom players. The mobile market dominates the entire telecom sector with strong growth in the number of subscribers and revenue. Besides, due to the fierce competition, operators are providing customers special offers to attract more subscribers. Some of these offers include enhancements to value added services, bonuses &discounts, and special offers. In terms of technological developments, the Saudi Arabian mobile market is highly competitive, with three mobile operators offering 3G services, namely Saudi Telecom Company, Mobily, and Zain.

According to our report “Saudi Arabia ICT Market Forecast 2014”, number of 3G subscribers will account for around 35% of the overall mobile subscribers by 2014 end. Due to its right mix of population and wealth, Saudi Arabia is an attractive destination for mobile operators. The country has witnessed rapid uptake of 3G technology as around 60% of the country’s population is young. As this population segment is known for its tech-savvy nature and adopts new technology and gadgets faster, it is a crucial factor for 3G growth in the country.

Despite the intense competition and price wars, there is still room for a better end-user experience and customization of applications. It is projected that, Saudi VAS market will observe significant growth during the next 3 to 4 years. Content-based VAS and predominantly entertainment-oriented content are helping to improve adoption rates in Saudi Arabia, where news and Islamic content is dominant. Innovative VAS offerings, introduction of 3G technology, operator consolidation, and sachet VAS are some of the key factors that can hike the adoption rates of VAS in Saudi Arabia.

“Saudi Arabia ICT Market Forecast 2014” studies the present scenario and future outlook of the ICT market in Saudi Arabia. The report has segmented the ICT market into IT and communication services with further analysis of their sub segments including hardware, software, services, fixed line, mobile, internet, broadband, and 3G services. The report also analyzes future prospects of WiMax, IPTV, Smartphone, and security software market. Emerging trends and drivers have also been presented in the report so as to provide clarity to investors and service providers in Saudi Arabia.

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