This document summarizes telecommunications and media markets in the Arab world. It provides an overview of the regulatory frameworks and competitive landscapes for fixed, cellular, and internet services across multiple Arab countries as of 2010. It also summarizes key findings from surveys on internet, television, radio, newspaper and search engine usage in several Arab nations.

1. Arab Telecom and Media Markets Jawad Abbassi Founder, General Manager Center for Contemporary Arab Studies 2010 Annual Symposium Amman – March 22, 2010

3. Telecoms Landscape in the Arab World

6. A Regional comparison - September 2009/end of 2009 Source: Arab Advisors Group * Estimated. ** These figures are for end of 2009 Lebanon: The fixed voice penetration is by end of November 2009. Bahrain: The fixed voice penetration includes Batelco and Mena Telecom only. Iraq: - The fixed voice penetration rate was reported by the Iraqi Ministry of Communications. - The cellular penetration rate includes the national operators only. Sudan: Cellular subscribers by H1 2009. Mauritania: Figures are given by the regulator. These figures are not final and might be subject to change. They will be final with the release of the annual report 25.6%** 151.1%** 17.5%** Qatar 10.6%* 83.1%* 10.8%* Algeria 9.9%** 36.1%** 5.9%** Yemen 51.3%** 205.5%** 31.9%** UAE 15.9%** 93.5%** 12.3%** Tunisia 17.6% 44.5% 18.9% Syria 34.9%* Sudan 33.5%** 165.5% 16.7% Saudi Arabia 11.1% 46.5%* 9.3%** Palestine 13.2%** 129.0% 9.4%** Oman 18.8%** 80.3%** 11.2%** Morocco 2.3% Mauritania 146.9%** 17.0%* Libya 30.3%** 57.2% 21.5% Lebanon 107.5% 15.3%* Kuwait 17.3%* 101.2%* 8.4%** Jordan 69.1%* 3.7%** Iraq 7.9%** 71.7% 12.4% Egypt 41.2%* 134.9% 20.9% Bahrain Internet users penetration % Cellular penetration % Fixed voice penetration % Country

7. Fixed lines and penetration rates by September/end of 2009 Notes: - Jordan, Morocco, Palestine, Oman, Tunisia, Qatar, UAE and Yemen’s PSTN figures are by end of 2009. - Lebanon’s PSTN figures are by end of November 2009. - Bahrain’s PSTN figures include Batelco and Mena Telecom only. Source: Arab Advisors Group PSTN penetration % PSTN subscribers (000s)

8. Cellular lines and penetration rates by September/end of 2009 Note: Lebanon, Libya, Morocco, Qatar, Tunisia, UAE and Yemen’s cellular figures are by end of 2009. Iraq’s cellular figures include the national operators only. Source: Arab Advisors Group Cellular penetration % Cellular subscribers (000s)

9. 34.4 million Internet users in the Arab World by end of 2008 of whom some 20-22 million are broadband users Internet Users (000s) Internet Users Penetration % Note: the bar charts portray the figures per country by end of 2008. Source: Arab Advisors Group

10. Arab Internet users by September/end of 2009 Internet users (000s) Internet users penetration % Note: Algeria, Bahrain, Jordan, Palestine, Saudi Arabia and Syria’s Internet users figures are by September 2009. Source: Arab Advisors Group

11. Broadband accounts by end of 2009: Wireless broadband services increased broadband adoption Note: Saudi Arabia and Syria’s broadband accounts are by September 2009. * Includes wireless broadband accounts where data is available (WiMAX, 3.5G/HSPA, EVDO). Source: Arab Advisors Group

12. Broadband Internet in the Arab World by end of 2008: UAE, Bahrain and Qatar lead the broadband adoption Source: Arab Advisors Group and OECD broadband lines as % of total population 1 3 2

14. An Overview of the Arab World’s Broadcast Industry

15. Satellite Free-to-Air channels growth Note: The satellite systems included in the analysis are Arabsat, Nilesat and Noorsat. Source: Arab Advisors Group’s “ Satellite TV in the Arab World 2009” report 104 channels added

16. Fully launched and operational FTA satellite channels in October 2006, August 2007 and March 2009 Note: The satellite systems included in the analysis are Arabsat, Nilesat and Noorsat. Source: Arab Advisors Group’s “Satellite TV in the Arab World 2009” report 84 channels added

17. FTA Sat TV operational channels’ languages Source: Arab Advisors Group’s “Satellite TV in the Arab World 2009” report

18. Terrestrial channels growth Source: Arab Advisors Group’s “Terrestrial TV in the Arab World 2009” report 7 channels added

19. Radio stations growth 31 radio stations added Source: Arab Advisors Group’s “FM Radio in the Arab World 2009” report

20. The radio landscape transformed into almost a clean cut between private and state owned stations Source: Arab Advisors Group, March 2008

21. Some Primary Research Findings from Arab Advisors’ Major Media Surveys

22. Internet users have adopted online newspapers with zeal. Note: percentages are calculated from the total sample sizes of 355 for Saudi Arabia, 300 for UAE, 555 for Jordan and 3,348 for Egypt. Source: Arab Advisors Group’s Survey of Internet Use and Online Advertising Consumption and Effectiveness in Egypt (September 2009), Survey of Internet Use and Online Advertising Consumption and Effectiveness in Jordan (August 2009), Survey of Internet Use and Online Advertising Consumption and Effectiveness in Saudi Arabia and the UAE (April 2009)

23. 69.7% of Internet users in Egypt use the Internet as a source for getting daily and global news Note: Percentages are calculated from the total sample size (3,348) Source: A survey of Internet Use and Online Advertising Consumption and Effectiveness in Egypt , September 2009

24. 38.5% of Internet users in the UAE and Saudi Arabia use the Internet as a source for getting daily and global news Note: Percentages are calculated from the total sample size (655) Source: Internet Use and Online Advertising Consumption and Effectiveness in Saudi Arabia and the UAE April 2009

25. 44.1% of Internet users in Jordan use the Internet as a source for getting daily and global news Source: A survey of Internet Use and Online Advertising Consumption and Effectiveness in Jordan, August 2009 Note: Percentages are calculated from the total sample size (555)

26. TV viewing habits during Ramadan in UAE Note: Percentages are calculated from the 275 respondents whose TV watching habits change during Ramadan Source: Arab Advisors Group’s UAE Media Survey of Internet Users 2009

27. Google is the most used search engine among the UAE and Saudi’s respondents Note: Percentages are calculated from the total sample size of 655 Source: Internet Use and Online Advertising Consumption and Effectiveness in Saudi Arabia and the UAE Search engines used