Etisalat cuts broadband prices by 50 percent (UAE)

UAE based telecom operator Etisalat has announced a 50 percent reduction in its broadband prices with plans to cut down landline calling rates also in the pipeline. As per reports, the operator said that it had cut the price of its basic broadband package in the UAE and was studying a reduction of landline calling rates by 10 to 30 per cent.

Rashid Majid Al Abbar, the vice president of home products marketing for Etisalat, said the company had cut the price of its 1 megabits per second (mbps) internet package to US$32.52, down from $70.5 per month.

Al Abbar said the move by Etisalat was part of a plan to entice customers to use faster internet connections. He added that that is the long-term strategy. They want to have more high-speed customers.

Eventually, Etisalat will stop offering 256kbps and 512kbps packages, said Al Abbar. If customers are willingly migrating to these higher speeds, then eventually they see, down the line, they will not have these services. Etisalat also said it was studying the possibility of reducing the charges for calls made from UAE landlines.

He also said that the operator is proposing rate cuts of 10 to 30 per cent on local, as well as international calls to specific destinations. However, the international destinations to which calling charges will be cut are not yet finalised, but hinted that the countries include those in the Arab world and Asia.

The reduced landline rates should be implemented in the second half of this year, Al Abbar said. Such a move will require the approval of the Telecommunications Regulatory Authority.

du looks towards MVNO opportunities in Saudi Arabia (UAE)

UAE based telecom operator du is studying the possibility of expanding to Saudi Arabia as a mobile virtual network operator, the Chief Executive Officer said, as reported by BN.

As per the report, Osman Sultan, said that they are open to any opportunity in the changing world of telecom. They keep their eyes open and in this respect they are looking at any opportunity including MVNOs in any country.

As neighboring Saudi Arabia plans to issue three MVNO licenses this year, du is looking at that opportunity, the CEO said. He added that it is premature to comment, even if they decide to bid or not. He added that they are studying that, like they will study any other opportunities.

du announces 21.8% increase in mobile revenue in Q1 2012 (UAE)

Total combined revenues for Q1 12 increased 20.1 percent year on year to $653.4 million compared to $544.5 million for Q1 11. The primary driver of revenue growth was the mobile business. At the end of March, du’s share of the UAE mobile market stood at 46.7 percent, based on the data published by the Telecommunications Regulatory Authority (‘TRA’) and competitor disclosures. 320,600 mobile customers were added in the first quarter of 2012, more than in any of the quarters in the last two years.

More than a sixth of the additions were high-value post-paid customers. This is further evidence of the strength of du’s position as being the provider of choice for the majority of new mobile customers in the UAE. du now serves a total of approximately 5,536,600 active mobile customers.

Mobile revenues grew by a further 21.8 percent year on year in the first quarter, reaching $522.7 million, compared to Q1 11 ($430.16 million) and up 1.8 percent versus Q4 11 ($514.5). Drivers of performance in this segment continue to include growth in the Company’s customer base, strong ARPU, especially from the post-paid segment, and increasing data usage. The high-value postpaid mobile customer base continues to increase in importance, contributing 48.6 percent of the growth in mobile revenues during Q1 12. 43.6 percent of this contribution can be attributed to growth in ARPU.

A further 50,400 post-paid customers were added in Q1 12, testament to the Company’s continued efforts to attract and retain high-end mobile users. 413,200 high-value postpaid customers now represent 7.5 percent of the mobile customer base (up from 6.7 percent in Q1 2011).

Mobile ARPU remained steady at $32.4, for the first quarter, up from $32.13 during Q1 11. Data revenue contribution growing mobile data usage continues to grow as an important component of du’s mobile revenues, representing approximately 15.5 percent of mobile revenues. Mobile data revenues more than doubled year on year from $38.38 million in Q1 11 to $80.86 million in Q1 12. Mobile data revenue for the quarter was boosted by a promotion that began at the end of December and finished during the first quarter.

Etisalat offers new LTE plans for users (UAE)

UAE’s leading telecom operator Etisalat has launched new LTE service packages on LTE-compatible USB modems titled  My DataPlan ‘Plus’, ‘Extra’ and ‘Ultra’ pack bundles.

According to reports, the operator said in a statement that customers can choose and enjoy the LTE super-speed of up to 100Mbps for free or for competitive monthly rentals on any My DataPlan pack, subscribed on a six or 12 months contract. Further, for a limited time, customers can also buy the standalone LTE USB modem at 25 percent discount of $163.

The company added that based on customer’s data requirements, My DataPlans offer the most competitive data bundles, including the ‘Ultra’ pack which provides the UAE’s largest data allowance of 20GB. In addition, customers get free hours of unlimited Internet usage and downloading from midnight to 3 am every day on every pack.

Etisalat’s LTE network is capable of providing customers with a transformational mobile broadband experience. Starting with value-packed offerings on the LTE USB modems, Etisalat is working its way up to provide customers with more LTE devices, such as tablets and voice enabled smartphones, by the third or fourth quarter of this year. Customers will soon be able to enjoy more devices and services options on their network.

Etisalat launches new UniTalk promotion for the youth segment (UAE)

UAE’s leading mobile operator Etisalat has launched a new UniTalk promotion plan aimed at students in universities and the overall youth segment. According to the company, on subscribing to UniTalk, the consumers are automatically entered into the UniTalk mega draw where they can win some really cool prizes.

Further, users can enhance their chances of winning by referring friends to UniTalk; the higher the conversion rate, the higher the chances of winning. Under the promotion, Etisalat offers a car, vacation or a cash prize worth $35,400 as the first prize, an Apple set consisting of MacBook, iPad and iPhone worth $4,084 as the second prize, and a valuable shopping voucher worth $1,362 as the third prize.

Etisalat to offer internet-based phone calls in Q2 2012 (UAE)

Leading telecom operator in UAE, Etisalat, has said that it will offer internet-based phone calls by the end of the second quarter, as told to Reuters. As per the report, the move comes in an attempt to fight off competition from Skype and other international providers.

The report reveals that in UAE, only Etisalat and rival du are licenced for Voice over Internet Protocol (VoIP) services – free Internet-to-Internet calls and cheap Internet-to-phone calls – and both have yet to do so as they try to maximise earnings from conventional calls.

Even though Skype has been officially banned in the region, the larger population still continues to access it thereby cutting into the margins of the mobile operators. Essa Haddad, Etisalat’s chief commercial officer, told Reuters that they are talking about quarter two, 2012. Haddad declined to indicate how much cheaper Etisalat’s VoIP calls would be compared with its usual international tariffs.

He added that any price change has to be (approved) by the regulator and that’s why it’s taking time because they need to get this finalised. Previously, the telecoms regulator has indicated it would not allow significantly cheaper VoIP tariffs, but analysts warn that will do little to persuade UAE residents to switch from the likes of Skype, which can still often be accessed locally despite the ban.

Faced with this challenge, Etisalat has bet its ePlus platform will improve customer loyalty and stem the flow of subscribers to du, which has built up an estimated 46 per cent share of mobile subscribers since launching services in 2007. Etisalat, which operates in 17 markets, has reported declining earnings in seven of the past eight quarters, with the rise of du and VoIP key factors in this slump.

Etisalat expands mobile payment services (UAE)

UAE’s leading telecom operator Etisalat has entered into a partnership with Da Afghanistan Breshna Sherkat (DABS) for expanding its mobile payment services. According to reports, mobile customers in Kabul will be able to pay their electricity bills using the mobile payment system.

As per reports, Etisalat revealed that over US$ 1.8 billion was transferred in 2011 across its mobile payment system in the UAE. Using this service customers can pay bills via text messages.

Essa al Haddad, chief marketing officer, Etisalat Group, said that they want to make the mobile phone the bank in their customers’ pockets. Haddad also said that their mobile commerce platform provides services to the un-banked and under-banked in the emerging markets of Africa and Asia, giving people the tools to trade and money transfer to develop micro-economies. This latest development in Afghanistan is further proof of how they are using innovation to change people’s lives for the better.

Etisalat moves towards winding up Etisalat DB (UAE, India)

UAE’s leading telecom operator Etisalat has said that it has started winding up its Indian venture and hopes to end it in a proper and orderly manner. The move follows the order by the Indian Supreme Court which cancelled 122 2G licences acquired by telecom operators in the 2008 licence auction. Etisalat DB held 15 of the cancelled licences.

As per a statement made by the company, Etisalat has issued proceedings for the winding up of Etisalat DB Telecom Pvt. Ltd. The step was taken to ensure a proper and orderly end to the business supervised by the Indian courts. The company added that it will stop providing mobile services in India on March 31.

The company also said that Etisalat was completely unaware of any issues or risks associated with the licenses, which were already owned by Swan when it made its investment. Etisalat has sued Indian partners Shahid Balwa, Vinod Goenka and Majestic Infracon for fraud and misrepresentation associated with soliciting Etisalat’s investment in Swan.

Further, the statement said that the Indian company is also unable to meet the funding requirements of the Indian venture.

Etisalat wins three GSMA Global Mobile Awards in Barcelona (UAE, Spain)

Mobile operator Etisalat, has won three international awards for ‘Best Mobile Health Innovation’, ‘mWomen Best Mobile Product’ for its mobile health innovation – Etisalat Mobile Baby – that is helping to combat maternal mortality in developing countries, as well as the ‘Best Mobile Money Innovation’ award for its Etisalat Commerce commercial platform enabling customers to use the mobile phone as a payment instrument anywhere , anytime.

According to the company, Etisalat’s Mobile Baby program delivers affordable primary healthcare solutions to even the remotest regions of Africa and it has already demonstrated tangible results to meet Millennium Development Goal 5 (MDG5) which seeks to reduce maternal mortality in childbirth by 75 per cent and deliver universal access to reproductive health by 2015.

Developed in partnership with Qualcomm, D-Tree International and Great Connection, Etisalat Mobile Baby is a complete mHealth ecosystem that brings together medical healthcare professionals, NGOs, pharmaceutical and insurance companies, and federal and state government to deliver affordable healthcare for all powered by mobile connectivity.

 In Tanzania in the regions where Etisalat first launched the service, there has been a substantial drop in baseline maternal mortality rates and 30 percent increase in in-medical facility delivery rate. During 2012 the Etisalat Mobile Baby service will be rolled out across its operations in Afghanistan, Pakistan, Sri Lanka, Ivory Coast, Benin, Togo, Niger, Central African Republic and Gabon.

 The award for ‘Best Mobile Health Innovation’ aims to highlight the rapidly emerging area of mobile connectivity in healthcare, an area which has the potential to address one of the biggest challenges faced globally; how to make high-quality healthcare affordable and accessible to all while utilising the benefits of mobile technology for innovative diagnoses, treatment and health service operations and logistics.

The Etisalat Commerce initiative won the ‘Best Mobile Money Innovation’ for its transformational way of implementation of payments instruments seamlessly integrated with mobile phone technology. Developed in partnership with MasterCard Worldwide and Oberthur Technologies, the innovation transforms mobile phones into the virtual payment cards accepted in MasterCard merchants.

Essa Al Haddad, Etisalat Group chief commercial officer, said that Etisalat is committed to harnessing the power of mobile connectivity through innovation to develop products that change people’s lives for the better.

Further, Etisalat’s commitment is to provide the necessary technologies to enable people to take charge of their futures which will lead to accelerated social and economic development.  In the case of Etisalat Mobile Baby it can also save lives and narrow the gender gap.