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Competition to rise in Gulf

  • Middle East: Monday, December 29 - 2008 at 11:15

A new report by Global Investment House predicts higher competition and a further drop in average revenue per user as Gulf telecom players go on an expansion spree following steps taken by Saudi Arabia, Bahrain, Oman, and the UAE to allow additional service providers in the respective countries. The report said service providers should aim to increase their market shares by providing differentiated value-added services and providing content-based services like mobile video streaming to enhance the ARPUs. The Gulf registered a decline of 6.9% in fixed line subscribers from 5.8 million in 2006 to 5.4 million in 2007 as customers shifted to more convenient mobile voice services.

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