Average broadband tariffs in the Middle East stands at €7.67

According to Quantum-Web’s Middle East Broadband Tariffs Analysis, broadband prices across the Middle East declined slightly in the fourth quarter of 2013 with the average monthly price standing at €7.67.

The report further reveals that following the introduction of super-fast fibre optic and LTE technology, particularly in the Persian Gulf countries, the cost of mobile and fixed broadband tariffs stayed the same throughout the region except in Qatar where Quantum-Web observed a reduction in the monthly price plans.

From a pricing strategy point of view, those operators who did not change their broadband price plans increased the monthly allowances of the packages, in particular, the LTE data packages.

According to the report, operators in the region are increasing the monthly data and voice allowances and/or subsidising devices with the aim of increasing the ARPU and customer loyalty.

It appears that the diversity of broadband prices in the region are proportional to the broadband penetration, as shown in the figure below:

Figure 1- Penetration of fixed broadband and average national price of fixed and mobile broadband tariffs in Middle East


A pricing strategy to retain customer base by increases in monthly allowances or handset subsidies works perfectly in more mature markets in the region like those in Israel, Bahrain and UAE.
In terms of broadband market evolution from a network perspective, the rate of fibre optic and LTE rollout in the region appears very fast, and in Q4 2013, Bahrain became the sixth out of a total of 14 countries offering LTE services.
This report, furthermore, includes both wireless and wireline broadband tariffs of 48 major operators in the following countries:
• Bahrain
• Iran
• Iraq
• Israel
• Jordan
• Kuwait
• Lebanon
• Oman
• Qatar
• Saudi Arabia
• Syria
• West Bank and Gaza
• Yemen

The tariffs are analysed in this report according to the following parameters:
• Download and upload speed.
• Recurring and non recurring costs.
• Throttling or overage details.
• Type of device.
• Bundling characteristics.

The report, furthermore, analyses broadband pricing strategies of each operator included in the research on the basis of the following perspectives:
• Fixed broadband tariffs by speed.
• Fixed broadband tariffs analysis by access technology.
• Fixed broadband tariffs analysis for stand-alone vs. bundled services.
• Wireless broadband tariffs analysis of 3G and 4G.
• Wireless broadband tariffs analysis of 3G and 4G for cost per GB.