Telecommunications ( january - july 2009 )

According to the data provided by the State Statistics Committee of Azerbaijan, in January-July 2009, the communication enterprises provided population and businesses with services worth 560.9mln manat, or 12.7% more than the same period of 2008. Compared with the same period of 2008, the rate of growth in the ICT sector amounted for 10.5.

Some 78.1% of all communications services accounted for population.

Major indices reflecting activities of communications enterprises in Azerbaijan

Source: State Statistics Committee

Some 72.3% of the profits fell on mobile communications, an increase of 14.5% compared to the same period of the last year. Number of mobile communication users in the six months increased by 14.5 percent. Currently three GSM operators function in Azerbaijan, including Azercell Telecom (3.7mln subscribers), Bakcell (1.5mln), Azerfon (1.2mln). 

Over the past years, a growth has been recorded in the number of Internet users. The number of broadband Internet in Azerbaijan has increased by 57.5 percent since the beginning of the year. According to the data provided by the Ministry of Communications and Information Technologies, now broadband service is available in 46 districts and towns of the Republic. Currently 37 Internet users fall on each 100 people, eight personal computers - each 100 people.

Now 30 internet service providers operate in Azerbaijan. The major part of the Azerbaijani Internet accounts for the primary providers - Delta Telecom and Aztelecom. Another part accounts for secondary providers, most of which lease channels mainly from Delta Telecom. The role of primary provider is also claimed by the newly created joint venture Azertelecom, which together with Russian telecommunications company Sinterra has started to design and construct cross-border fiber optic transition between Russia and Azerbaijan.

The Tariff (Price) Council of Azerbaijan decided to reduce the prices of State Internet network AzStateNet from 1 July 2009 by 44.4-66 percent, depending on traffic tariffs. The tariffs for 128, 256, 384, 512, 768, 1024, 1536 and 2048 kb/s were reduced to 30, 60, 85, 125, 170, 250, 375, 500 manat. The decision was based on the recent increase in Internet traffic in the country and lower prices for network connection.

In January - July 2009, the volume of IT production and IT services in Azerbaijan constituted 583.1mln manat with a rise of 10.5%.