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IT sector of Azerbaijan (January-November 2010)

Analysis Materials 8 January 2011 11:06 (UTC +04:00)

The ICT sector in Azerbaijan is currently the fastest growing sector of the national economy. The amount of information and communication services rendered to business entities in Azerbaijan in January-November totaled 1 billion manat, or 30.8 percent more than the same period of last year. About 74.2 percent fell on share of paid services provided to population.

Index of services rendered by telecommunication and postal divisions, in percent

As compared to previous month

As compared to the previous year

2009

January

62,4

107,9

February

102,5

102,3

March

126,6

106,2

April

122,2

111,7

May

91,5

116,9

June

101,6

114,0

July

107,0

114,9

August

91,9

114,0

September

104,5

113,3

October

106,5

113,7

November

86,0

112,8

2010

January

118,0

118,0

February

119,5

127,9

March

110,4

124,8

April

127,2

124,9

May

92,0

125,1

June

114,2

128,2

July

110,9

131,3

August

90,0

132,9

September

99,5

133,4

October

93,9

132,1

November

87,0

130,8

Azerbaijani State Statistics Committee also notes the increasing in rate of the production of ICT equipment in the country. So, in January-November 2010, computer, electronic, optical and electrical equipment was produced at 103.7 million manat. 83.2 percent growth was recorded in the manufacture of electrical equipment.

According to the Ministry of Communications and Information Technologies, Azerbaijan was the first country in the post-soviet area achieving telephonization throughout the republic in 2008. Preserving this leadership, Azerbaijan also claims for a leading position among the CIS countries as a country where the public telephone network will be completely digitized.

At present, the total number of telephones falling to every 100 people throughout the country is 16.2 units. This rate hits 34.6 units in Baku, other regions of the country - 10,7 units, rural areas - seven units.

About 67.5 percent of the revenue fall to mobile services, of which growth, compared to the same period of last year, hits 31.1 percent, totaling 697 million manat. The subscriber base of mobile operators in Azerbaijan in January-September increased by 842,880 people, amounting to 8.6 million subscribers, the Ministry of Communications and Information Technologies of Azerbaijan reported.

The subscriber base of mobile operators in Azerbaijan in January-September increased by 842,880 people, amounting to 8.6 million subscribers, the Ministry of Communications and Information Technologies of Azerbaijan reported.

Number of mobile communication subscribers

2003

1 057 100

2004

1 456 500

2005

2 242 000

2006

3 323 500

2007

4 519 000

2008

6 548 000

2009

7 757 120

According to the agency, as of Oct. 1 this year, mobile penetration in Azerbaijan reached 94.7 percent. This figure is as of Jan. 1 was 86.2 percent.

Mobile penetration level

2003

12,8

2004

17,4

2005

26,8

2006

39,0

2007

52,4

2008

75,0

2009

86,2

The penetration rate of broadband Internet in Azerbaijan reached 12 percent, twice exceeding the average world indicators. Internet in Azerbaijan is available throughout the country, and the current prices on the Internet correspond to the rates available in Eastern Europe. Over the past one and a half year, the Internet tariffs in Azerbaijan were reduced by an average of eight to nine times. At present, the average price of connection to the ADSL service at speeds of 1 Mbps is 20 AZN.

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