Iran Telecom Market Size (2024 - 2029)

The Iran telecom market is experiencing growth driven by the expansion of network capacity and the transition to advanced technologies like 4G and 5G. Key telecom companies are investing in research and development to enhance mobile broadband services, with 5G deployment gradually increasing. The Iranian government's initiative to extend fiber-to-the-home services is expected to further boost the market's scale. Additionally, the demand for fixed broadband services is rising, supported by efforts to expand coverage and replace outdated infrastructure. The shift towards remote work during and after the COVID-19 pandemic has also contributed to an increase in broadband subscribers, highlighting the growing importance of high-speed internet services in the market.

Market Size of Iran Telecom Industry

Iran Telecom Market Summary
Study Period 2019 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2019 - 2022
CAGR 2.21 %
Market Concentration Medium

Major Players

Iran Telecom Market Major Players

*Disclaimer: Major Players sorted in no particular order

Iran Telecom Market Analysis

Iran Telecom Market revenue is expected at a CAGR of 2.21% over the next five years. The key telecom companies, such as Telecommunication Company of Iran (TCI), Mobile Communications Iran (MCI), and MTN Irancell, are based in Iran and promote innovation by making significant R&D investments consistently.

  • The transition to 4G and 5G is still rising in the country due to expanding new networks and the expansion of the device ecosystem. Key players in the telecom market are investing in expanding their network capacity and improving the quality of mobile broadband services through deploying LTE networks.
  • 5G services are slowly deploying in Iran. For Instance, MTN Irancell launched 5G services in Tehran. In the Future, all the customers will slowly migrate from 3G and 4G networks to the 5G network.
  • The government of Iran is planning to extend its FTTH (fiber-to-the-home) service to more than 20 million premises by the end of 2025. Such a government's timely initiative will further support the growth of the telecom market.
  • Fixed broadband penetration will grow over the next five years, driven by the efforts from the operators and the government to expand broadband coverage across the country. For Instance, TCI has laid fiber optic cables in several areas in Tehran and other major cities, replacing copper cables with fiber cables to offer high-speed broadband services for customers.
  • During the COVID-19 pandemic and post-COVID-19 scenario, most people preferred work-from-home mode, thus increasing broadband subscribers. Wireless and wired broadband services can provide high-speed internet services. Key players in the market focused on expanding their broadband services that support 5G networks.

Iran Telecom Industry Segmentation

Telecom or telecommunication is the long-range transmission of information by electromagnetic means.
Iran's Telecom Market includes in-depth trend analysis based on connectivity like Fixed Networks, Mobile Networks, and Telecom Towers. The telecom services are divided into Voice Services (Wired and Wireless), Data and Messaging Services, OTT, and PayTV Services. Several factors, including an increasing demand for 5G, likely drive the adoption of telecom services.

The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.

By Services
Voice Services
Wired
Wireless
Data and Messaging Services (Coverage to include Internet & Handset Data packages, Package Discounts)
OTT and PayTV Services
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Iran Telecom Market Size Summary

The Iranian telecom market is experiencing a gradual transformation, driven by significant investments from key players like Telecommunication Company of Iran (TCI), Mobile Communications Iran (MCI), and MTN Irancell. These companies are focusing on expanding network capacity and enhancing mobile broadband quality through the deployment of LTE networks. The transition to 4G and 5G technologies is underway, with MTN Irancell already launching 5G services in Tehran. The government's initiative to extend fiber-to-the-home (FTTH) services to millions of premises is expected to further bolster market growth. The shift from copper to fiber optic cables in major cities is enhancing fixed broadband penetration, supported by increased demand for high-speed internet services during and after the COVID-19 pandemic.

Iran's telecom market is characterized by a large population, which drives the demand for wireless telecom services. The market is moderately fragmented, with major players like TCI, MCI, MTN Irancell, Rightel, and Shatel leading the charge. The mobile penetration rate is on the rise, and as smartphone adoption grows, so does the demand for OTT services, creating new growth opportunities. While Pay-TV services are expected to decline due to competition from OTT providers, the market is witnessing a shift towards wireless broadband connections. Government and private sector collaborations are key to expanding these connections, with initiatives like the deployment of 5G and the expansion of FTTH infrastructure playing a crucial role in shaping the future of Iran's telecom industry.

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Iran Telecom Market Size - Table of Contents

  1. 1. MARKET INSIGHTS

    1. 1.1 Market Overview

    2. 1.2 Industry Ecosystem Analysis

    3. 1.3 Industry Attractiveness-Porter's Five Force Analysis

      1. 1.3.1 Bargaining Power of Suppliers

      2. 1.3.2 Bargaining Power of Consumers

      3. 1.3.3 Threat of New Entrants

      4. 1.3.4 Threat of Substitute Products

      5. 1.3.5 Intensity of Competitive Rivalry

    4. 1.4 COVID-19 Impact on the Industry Ecosystem

    5. 1.5 Regulatory Landscape in Iran

  2. 2. MARKET SEGMENTATION

    1. 2.1 By Services

      1. 2.1.1 Voice Services

        1. 2.1.1.1 Wired

        2. 2.1.1.2 Wireless

      2. 2.1.2 Data and Messaging Services (Coverage to include Internet & Handset Data packages, Package Discounts)

      3. 2.1.3 OTT and PayTV Services

Iran Telecom Market Size FAQs

The Iran Telecom Market is projected to register a CAGR of 2.21% during the forecast period (2024-2029)

Telecommunication Company of Iran (TCI), Mobile Communications Iran (MCI), MTN Irancell, Rightel and Shatel are the major companies operating in the Iran Telecom Market.

Iran Telecom Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)