New Fixed Networks research report from Business Monitor International is now available from Fast Market Research

Boston, MA -- (ReleaseWire) -- 01/02/2013 --BMI View: With mobile penetration firmly above 100%, growth in Egypt's mobile sector is expected slow over the next few years. However, the prospect of network expansion to underserved areas and launch of MVNO services present upside risks to this outlook. The downtrend in the fixed-line sector will continue during our forecast period, ending 2016, although we expect the strong uptake of broadband and multiplay services to reduce rate of decline.

Key Data

- After an impressive 10.6% q-o-q growth in the mobile sector in Q112, the market grew by just 0.6% q-oq in Q212.
- The fixed-line sector recorded a surprise 0.8% q-o-q growth in Q212, although the general trend for fixed-line subscriptions is still downwards.
- The number of internet users increased by 1% q-o-q in Q212, according to regulatory data.
- Market average blended ARPU rose by 4.2% q-o-q in Q212 due to increased usage.

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Risk/Reward Rating

Egypt is in 11th position on our Rusk/Reward Ratings (RRR) table this quarter. The country is held back by weak Country Risk and Country Reward scores, mainly due to the political and economic uncertainty in the country for most of 2011 and H112. Although the conclusion of the presidential election and the successful handover of power from the military to an elected government raises the prospect of stability, we do not rule out renewed political tension and economic volatility in the short term.

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