Internet penetration to grow within United Arab Emirates reaching 3 million users by 2009

United Arab Emirates

Research and Markets: Syria's GSM subscribers grew at a massive CAGR of 210 % between 2000 and 2004, reaching a penetration rate of 13.8% by end of 2004. Much room remains for growth and we expect the penetration rate to triple to 46% in the coming 5 years.

The Internet penetration in UAE is one of the highest in the region. By end of 2004, the Internet account penetration was around 9.6%. The Internet accounts grew at a CAGR of 26% from 1999 to 2004. The number of total Internet accounts reached nearly 414,000 by end of 2004 while the users stood at an estimated 1,034,000 (using an account usage multiplier of 2.5). The growth to continue from 2004 to 2009, yet at a lower CAGR of 15% and attributes much of the new growth to dialup users upgrading to broadband services. It is estimated the total Internet accounts will reach more than 800,000 and the users will reach around 3 million (using an account usage multiplier of 2.5) by end of 2009. The ADSL accounts will continue gaining higher shares of the total Internet accounts, as dialup subscribers upgrade to using ADSL or new customers adopt the broadband service. This is highly expected if Etisalat continues it's strategies in offering tempting ADSL offers over limited periods each year, which include lower rates and privileges for new subscribers. Moreover, the report predicts that any new player in the market offering fixed line services, including broadband, will increase the market uptake of ADSL. United Arab Emirates Internet & Datacomm Landscape Report 2005 Publ 20050614