The wireless infrastructure market has made significant headway in the past couple of decades, but while it looked like it was taking over all else, it suddenly slowed down—maybe not to a complete stop, but to a slow enough pace to draw attention.
Wireless providers have seen revenue and profitability shrink, while the industry as a whole has seen a 10 percent decline in the manufacturing of wireless equipment. However, that’s on a global scale.
While the world has noticed a sharp decline in the demand for wireless technology, the Middle East’s wireless industry is just getting off the ground. That is in large part thanks to key players like Ehsan Bayat, the founder of Afghan Wireless, the first mobile phone provider in the nation’s history.
A Saturated Market Has No Effect on the Middle East
Whereas most of the rest of the world has come to a standstill due to oversaturation, lack of transition, and competitive pressures, the Middle East is dealing with none of these things. In fact, BusinessWire suggests that more than 60 percent of the nation’s telecom service revenue will come from mobile services through 2022.
This may be because while most of the world has already adopted 4G LTE networks, the Middle East is still in transition, which leaves plenty of room for movement and growth.
Standardized Equipment Poses a Problem
In addition to a saturated market, the rest of the world is dealing with standardization. As technology becomes more advanced and consumers more demanding, companies are figuring out ways in which they can make their components work harder and do more.
For instance, it has long been a point of contention that Apple changes its chargers for every two to three generations released. Other companies have taken note and are streamlining their equipment to work on multiple models and generations of phones.
Other equipment that consumers want to see standardized include docking stations, car adapters, and even software. Individuals want to be able to access their phone’s content across multiple devices, which is made possible with cloud-based software. They want to be able to sync videos to separate devices so that they can enjoy them at the same time as friends and family.
Manufacturers have taken note of these demands and have streamlined their devices and equipment to meet those needs. However, while consumers are happy, the standardization has made it harder than ever for companies to distinguish themselves from competitors.
Trends That May Affect the Middle East Mobile Market
Various trends that are forecasted to affect the Middle East’s mobile market. For one, the area stands to see an increase in mobile connections, including prepaid and 2G, 3G, 4G, and 5G. Providers are forecast to offer handsets, IoT, mobile broadband, smartphone, and non-smartphone offerings.
Revenue from the industry isn’t anticipated to come from just providers either. More revenue is predicted to come from prepaid and contract providers, handset, voice, data, and messaging upgrades, service and retail locations, and broadband providers. Voice traffic is anticipated to increase and to include more outgoing calls, which means more revenue for providers.
For Now, Mobile is Sustainable in the Middle East
The western world saw a surge in mobile use in the early 2000s, and though the Middle East took a while to catch up, it seems to be outpacing the rest of the world in terms of revenue and growth.
Evidence suggests that this may be because of its failure to implement mobile technology so early on in the mobile game. Whereas the rest of the world is fresh out of ideas as to how to improve the market, the Middle East’s industry is in its baby-stages, ripe for innovation, creativity, and improvement.