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Georgia - Telecoms, Mobile and Broadband - Statistics and Analyses

Executive summary

Georgia sees market consolidation with SilkNet purchase of Geocell

In recent years telecommunications has become one of the fastest growing sectors in the Georgian economy, with telecom services accounting for between 5% and 7% of GDP. Mobile penetration stood at 129% in early 2018. Growth in mobile broadband has been steady, supported by the auction of spectrum in the 800MHz and 2100MHz bands which has enabled the network operators to expand the reach and capabilities of LTE services. LTE services now cover the vast majority of the population.

The country still faces economic challenges, which have impacted on the telecom sector. Revenue from fixed-line voice services has fallen sharply, while revenue from the mobile sector has also fallen in the wake of intense competition compounded by the fall in messaging traffic as subscribers migrate to alternative OTT services. The overall market is largely propped up by the broadband sector, where the number of subscribers continues to increase steadily. The sharp growth in the number of fibre broadband connections has impacted on the DSL segment as customers are migrated from copper to fibre networks. This development reflects the significant increase in investment in infrastructure in recent years, spurred by the government’s national broadband plan.

Key developments:

SilkNet acquires Geocell; Mobitel and MagtiCom secure spectrum at auction; Mediafon Datapro awarded contract to manage number portability database though facility has been delayed to mid-2018; MagtiCom acquisitions see consolidation in the ISP segment; Caucasus Online contracts TE SubCom to upgrade the Caucasus Cable system; MagtiCom claiming 90% geographic coverage with LTE-A services; report update includes the regulator’s annual report for 2016, market statistics to February 2018.

Companies mentioned in this report:

Caucasus Online, Georgia Online, United Telecom, Telecom Georgia, Egrisi, SaNet, SilkNet, Georgian Railway Telecom, Akhali Kselebi

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Georgia - Telecoms, Mobile and Broadband - Statistics and Analyses
Published By :Paul Budde Communication
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