Market Size of Iraq Telecom Industry
Study Period | 2019 - 2029 |
Base Year For Estimation | 2023 |
Market Size (2024) | USD 350.87 Million |
Market Size (2029) | USD 430.35 Million |
CAGR (2024 - 2029) | 4.22 % |
Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
Iraq Telecom Market Analysis
The Iraq Telecom Market size is estimated at USD 350.87 million in 2024, and is expected to reach USD 430.35 million by 2029, growing at a CAGR of 4.22% during the forecast period (2024-2029).
- Telecommunications, or telecom, involves the electronic exchange of information across vast distances, encompassing voice, data, and video transmissions. It is a comprehensive term that spans various technologies and communication infrastructures.
- Increased spending on 5G infrastructure deployment and a surging demand for high-speed connectivity services are set to drive the growth of Iraq's telecom market. Major telecom companies like Nokia and Huawei have firmly established their presence in Iraq. By making significant investments in R&D, these companies are driving market growth and demonstrating a strong commitment to innovation.
- In July 2022, the United Nations Development Programme (UNDP) entered into a new Memorandum of Understanding (MoU) with Iraq's Council of Ministers Secretariat (ComSec) to bolster Iraq's digital services and enhance its e-governance capacities. The emphasis of this MoU lies in leveraging information and communication technology to revamp governmental processes, enhance citizen services, and propel the digital economy.
- The Iraqi government curriculum embraced digital transformation, as confirmed by the Communications and Media Commission (CMC) in February 2024. The CMC endorsed this and also encouraged US tech firms to broaden their operations within Iraq.
- During the US attacks, Iraq's telecommunications infrastructure suffered significant damage. The destruction extended to the primary telecommunication gateway switches, cutting off Iraq's long-distance calling connections globally.
- Rural areas in Iraq face severe internet service challenges. Many areas in Iraq are still using 2G technology. Even in areas with 3G, service quality remains subpar. In the Kurdistan region, the local government limited electricity to just 12 hours a day in the summer, hampering broadband access. While most cafés offer complimentary internet, the quality is often lacking.
Iraq Telecom Industry Segmentation
Telecom or telecommunication is the long-range transmission of information by electromagnetic means. The telecom market includes in-depth trend analysis based on connectivity, such as fixed networks, mobile networks, and telecom towers. Several factors, including an increasing demand for 5G, are likely to drive the adoption of telecom services.
Iraq’s telecom market is segmented by services (voice services (wired and wireless), data and messaging services, OTT, and PayTV services). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
By Services (Coverage to include Average Revenue Per User for the overall Services segment, Market size and Estimates for each segment for the period of 2022-2029 and in-depth Trend Analysis) | ||||
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Data and Messaging Services (Coverage to include Internet & Handset Data packages, Package Discounts) | ||||
OTT and PayTV Services |
Iraq Telecom Market Size Summary
The Iraq telecom market is poised for growth, driven by increased investments in 5G infrastructure and a rising demand for high-speed connectivity services. Major players like Nokia and Huawei are actively investing in research and development to enhance their presence and drive innovation in the market. The Iraqi government's commitment to digital transformation, supported by initiatives such as the Memorandum of Understanding with the United Nations Development Programme, aims to improve digital services and e-governance. Despite challenges such as outdated technology in rural areas and infrastructure damage from past conflicts, the market is witnessing efforts to expand broadband coverage and improve service quality. The introduction of projects like the Silk Route Transit Network and the establishment of a 5G mobile network by Al-Salam Telecommunications Company are set to bolster the country's digital economy and reduce reliance on the petroleum sector.
The market landscape is further shaped by the increasing penetration of OTT and Pay TV services, fueled by rising internet usage and government digitalization initiatives. Collaborations between companies like Accedo, Brightcove, and Al Sharqiya Group are enhancing Iraq's media offerings with new Subscription Video-On-Demand platforms. The growth in mobile-cellular subscriptions indicates a broader access to the internet, expanding the potential for streaming services. Strategic partnerships, such as those involving Ooredoo Group, BT, and Zajil Telecom, are enhancing connectivity and facilitating digital evolution. The launch of initiatives like "IRAQ-IXP powered by DE-CIX" aims to improve regional connectivity and network stability. These developments reflect a semi-consolidated market structure, with key players actively engaging in strategic alliances to drive growth and innovation in Iraq's telecom sector.
Iraq Telecom Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Attractiveness - Porter's Five Forces Analysis
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1.2.1 Bargaining Power of Suppliers
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1.2.2 Bargaining Power of Consumers
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1.2.3 Threat of New Entrants
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1.2.4 Threat of Substitute Products
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1.2.5 Intensity of Competitive Rivalry
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1.3 Impact of Macroeconomic Factors on the Market
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1.4 Regulatory Landscape in the Country
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2. MARKET SEGMENTATION
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2.1 By Services (Coverage to include Average Revenue Per User for the overall Services segment, Market size and Estimates for each segment for the period of 2022-2029 and in-depth Trend Analysis)
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2.1.1 Voice Services
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2.1.1.1 Wired
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2.1.1.2 Wireless
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2.1.2 Data and Messaging Services (Coverage to include Internet & Handset Data packages, Package Discounts)
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2.1.3 OTT and PayTV Services
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Iraq Telecom Market Size FAQs
How big is the Iraq Telecom Market?
The Iraq Telecom Market size is expected to reach USD 350.87 million in 2024 and grow at a CAGR of 4.22% to reach USD 430.35 million by 2029.
What is the current Iraq Telecom Market size?
In 2024, the Iraq Telecom Market size is expected to reach USD 350.87 million.