Doing Business in the UAE Guide

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nications Company (EITC, or Du), in 2007 ending the historical monopoly of Etisalat. Both licensed operators are majority state owned and pay the government a royalty which is a portion of their net profits. Etisalat is pursuing a strategy to invest abroad. The company has acquired green-field licences in 15 countries across Asia, the Middle East and Africa, including Saudi Arabia (Mobily), Sudan (Canar), Egypt (Etisalat Misr), Tanzania (via Zantel) and Afghanistan, and has made investments in incumbent operators Pakistan (PTCL) and West Africa (Atlantique Telecom). Etisalat is one of the largest telecommunications companies not just in the region but also in the world and was named the most powerful company in the UAE by Forbes Middle East in 2012. It still controls the majority of the market share (80%) in the UAE. Etisalat is currently owned by the UAE Ministry of Finance (60%) and 40% is publicly traded on the Abu Dhabi Exchange (ADX). Etisalat and EITC both support the nation and all levels of government by contributing to the advancement of education, social welfare, international relations, sports and culture. Etisalat and EITC work closely with government bodies in developing and implementing programmes aimed at enriching the lives of people in the UAE and the communities in which they live. Etisalat and EITC are involved with a number of organisations and initiatives that reach out to people in the UAE. These include significant cultural festivals, family events and tourist attractions across the nation. The UAE has one of the highest broadband penetration rates in the MENA region, with telecom companies offering new technologies for internet access with competitive tariffs. The telecommunications industry as a whole has seen substantial growth in recent years due to the significant growth of the population and of the number of tourists. The UAE’s telecommunication is also rated as one of the highest GDP per capita in the world. International telecom companies can penetrate the telecom

sector in the UAE by partnering with the main telecom providers, Etisalat and Du, or through applying for tenders and obtaining projects. In collaboration with Tata Communications and Cisco, Etisalat launched its virtual boardrooms in Dubai in 2010. The process of transforming Etisalat’s conventional infrastructure to fibre-optic next generation infrastructure, has also engaged the participation of international telecom companies. Telecom companies in the UAE obtain a great number of tenders offered by Etisalat and Du. Upgrading telecom exchange sites, supplying and installing AC and DC cables, installing and testing plant cable networks and installing and operating antennas site towers fabrication works are a few examples – supplying service providers with high and efficient technology in order to solve recurring issues such as short coverage in some remote and indoor areas.

Opportunities For the very latest business opportunities for UK companies in the telecommunications sub-sector, contact: •

UK Trade & Investment: www.businessopportunities.ukti.gov. uk/home.html?guid=none

UAE Federal Customs Agency: www.customs.ae/En/Home/ Pages/default.aspx

British Embassy in Dubai: ukti.dubai@fco.gov.uk

UAE Ministry of Economy: www.economy.gov.ae/English/ Pages/default.aspx

Dubai FDI: www.dubaifdi.gov.ae/en/ Pages/default.aspx

SHUROOQ: www.shurooq.gov.ae

www.UAE.DoingBusinessGuide.co.uk

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