Market Trends of Belgium ICT Industry
Rapid Deployment of 5G and Internet Networks Driving Growth
- The Belgian government is planning to fund additional 5G projects. In February 2024, - it announced the winners of its 5G pilot project tender. This was the second 5G tender after it awarded EUR 20 million to 21 pilot projects in 2023. The projects cover a wide range of domains, such as industry, health, maritime, and public safety. They aim to demonstrate how 5G can enable new solutions and services that can improve efficiency, safety, sustainability, and quality of life.
- Additional projects on the horizon include 5G-SafeAlert. This initiative leverages speed, acceleration, and directional data from cyclists and motorized vehicles to identify potential risks and alert drivers proactively. Another venture, 5G HEALTH, is dedicated to trialing and deploying pivotal 5G applications within a live hospital setting, encompassing remote healthcare services and training programs.
- The national broadband plan aims to eradicate any remaining 'white areas' (regions lacking high-speed internet access). The initiative aligns with the objectives of the European Gigabit Connectivity 2025.
- Sarens, a Belgian multinational headquartered in Wolvertem, reported that Proximus, in collaboration with the Belgian Infrastructure Fund, is set to expand fiber installations in the country. The plan aims to add fiber connections to 1.7 million new households, pushing fiber coverage to an impressive 95% of both residential and commercial properties.
- Furthermore, Statbel, the Belgian statistical office, reported a significant surge in household internet connectivity. Between 2008 and 2021, the percentage of Belgian households with internet access leaped by 29 percentage points. By 2023, this figure peaked at 94%, a stark contrast to the 64% recorded back in 2008.
IT and Telecom Industry Driving the Market
- Belgium boasts one of the highest internet penetration rates in Europe, fostering the adoption of ICT services and products. For instance, according to Eurostat, the Level of internet access was 94.48% in December of 2023.
- As per the UN Agency for Digital Technologies, on March 1, 2024, Belgium unveiled a fresh initiative to promote digital and IT services: a monthly telecom social rate of EUR 19 (approximately USD 21) tailored for its low-income populace. Complementing this, the Belgian government is injecting over EUR 10 million (USD 11 million) into initiatives aimed at bridging the digital divide and fostering digital literacy.
- In 2023, Belgium's household internet penetration, as reported by Eurostat, held steady at approximately 94.48%. Notably, 2023 marked the peak for internet access among Belgian households during the period.
- In November 2023, Infosys, an IT and consulting services firm, announced a collaboration with Belgium's Proximus to spearhead an IT modernization and consolidation initiative. As part of this venture, Infosys will integrate pivotal IT components from a Proximus affiliate into the primary IT infrastructure. This consolidation aims to empower Proximus to extend its service portfolio, including fiber and innovative digital offerings, to a broader customer base.
- Private entities are pivotal in enhancing regional internet connectivity. In May 2024, Romanian telecom giant DIGI Communications debuted in Belgium, partnering with Citymesh (a division of IT powerhouse Cegeka). Initially, DIGI's mobile services will leverage the infrastructure of local operator Proximus.