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Azerbaijan - Telecoms, Mobile and Broadband

  • May 2017
  • 36 pages
  • Paul Budde Communication Pty Ltd
Report ID: 3305850

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Azerbaijan's fixed broadband sector continues with moderate growth
After the oil sector, the telecommunications industry is the largest sector in Azerbaijan, and a major contributor to the country's economy. Government-owned Aztelekom has been the country's main telecom service provider, being directly controlled by the Ministry of Communications and High Technologies (MCHT).

In 2017 AzTelekom revealed plans to introduce fibre-to-the-home (FTTH) broadband in an upgrade to its existing ADSL network.

Azerbaijan's fixed-line network provides good national coverage and subscriber numbers were expanding at a modest rate up to 2014. However by during 2015, 2016 and 2017growth had flattened. Just over 80% of fixed lines are in urban areas, despite 50% of the population living in rural areas.

The mobile market in Azerbaijan has seen moderate growth over the past few years. Market penetration has increased from 107% in 2013, to over 110% by 2017. Further moderate growth is predicted over the next five years to 2021.

There are four major mobile operators in the Azerbaijan market. Azercell dominates the market. Bakcell and Azerofon account for the majority of the remainder of the market.

Internet user penetration reached nearly 80% by 2016. Broadband now has a significant presence in the market with over 90% of fixed internet services being broadband by 2017.

The fixed broadband market has seen moderate growth over the past few years. Fixed broadband penetration has increased significantly from 2009 onwards. Moderate growth is predicted over the next five years to 2021.

Key developments:

Azerbaijan having initiated an e-government project, implementation was reported to be making good progress;
mobile operator Azerfon has acquired ISP CityNet to expand its commercial reach.
AzTelekom revealed plans to introduce fibre-to-the-home (FTTH) broadband in an upgrade to its existing ADSL network.
InAzeri Baku Telephone Production Association (BTRIB) announced a rebranding of its business under the name Baktelecom


Companies mentioned in this report:

Aztelekom; AzEuroTel; Azercell; Bakcell; Azerfon; Catel; BakTelekom (BTRIB); Eurasiacom; Fintur; Vimpelcom (Beeline);

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