| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Historical Data Period | 2019 - 2023 |
| CAGR | 2.70 % |
| Market Concentration | Medium |
Major Players*Disclaimer: Major Players sorted in no particular order |
Oman Telecomm Market Analysis
The Oman Telecom Market is expected to register a CAGR of 2.7% during the forecast period.
The Oman telecom market size is expected to escalate from USD 1.1 billion in the current year to USD 1.3 billion by the next five years at a CAGR of 2.7% during the forecast period. Oman's demographics are favorable due to a growing young population. The need for data services would continue to be driven by expanding smartphone usage, particularly among younger people, along with growing over-the-top (OTT) and social media consumption. The highly saturated mobile market and the growing data demand would fuel the mobile business profits for the Omani telecom carriers.
- In Oman, the 5G network is expanding quickly alongside 5G Fixed Wireless Access (FWA), which offers fixed internet services. Also, operators are planning to spend aggressively building the 5G network to boost income for the fixed-line sector. Further, to take advantage of the expanding prospects in Oman's underserved fixed-line market, businesses are also preparing for Fibre To The Home (FTTH) development. Fixed wireless connection is an essential component of the telecom operators' plan to offer high-speed internet access throughout Oman.
- Cellular technologies have a vital role in the growth of communication and the transformation of enterprises and society, with a connection at the center of industry change. With the advent of 5G, operators can create new use cases, apps, services, and income streams geared at consumers, businesses, and other markets and sectors. To establish 5G mobile networks, Oman's service providers spend more money on network coverage, dependability, and speed improvements across the country. The mobile ecosystem is drastically changing and is becoming more pervasive and broader than ever as 5G technology enters the Omani market. The moment has come for operators to use their cutting-edge technology to create products that empower consumers and companies.
- After 2019, mobile broadband service penetration will be above 100%, driven by growing data consumption. The number of mobile broadband subscribers fell last year, but the trend is projected to change, thanks to an increasingly young population and increased demand for data. According to the GSMA, mobile data traffic in the Gulf Cooperation Council (GCC) area is anticipated to be spurred by rising smartphone use, and increased use of social and OTT platforms would quadruple by 2027. With an anticipated rise in subscriber base and better ARPU (average revenue per user), the mobile broadband segment of the country is anticipated to promote sector-wide revenue growth.
- With Vodafone Oman's debut in the first half of the current year, the rivalry in the domestic telecom industry is set to intensify even further. This is anticipated to significantly influence the dynamics of a competitive market that is already saturated, as seen by the increase in mobile virtual network carriers (MVNO). With its extensive expertise and advanced technological skills, Vodafone Oman might seriously threaten current industry leaders' ability to hold onto market share. Vodafone is rapidly increasing its market share in Oman by providing services at costs below cost, posing a severe challenge to established businesses' ability to hold onto their market positions. Particularly in the mobile prepaid market, the pricing conflict is predicted to worsen, putting pressure on ARPU.
- The telecommunication business potential in Oman expanded quickly despite the enormous commercial hurdles that the COVID-19 pandemic brought. To capitalize on the increased need for Data centers, Unified Communications and Collaboration (UCC), contact centers, cloud computing, managed security, blockchain, the Internet of Things (IoT), and big data analytics, telecom firms are continuously investing in ICT (information and communications technology). Omantel and Ooredoo recently installed high-capacity underwater cable networks linking Oman with the rest of the world. It might be a game-changing strategy to work with foreign operators, allowing Omani operators to keep up with changes worldwide and have access to high-speed internet.
Oman Telecomm Market Trends
Growth in OTT Services
- Without a cable or satellite television subscription, entertainment films and TV series may be directly supplied to digital consumers using OTT platforms. Due to the considerable proportion of young people who utilize digital media (such as social, economic, OTT, and IoT), there would likely be a rise in demand for data services, which would help the Omani telecom industry. Favorable demographic trends are therefore promising for the home telecom industry. Over the past two years, the SVOD (subscription video on demand) industry has expanded quickly. In the current year, it is expected to rise across the country. According to Dataxis, this market's growth curve will soar over the following five years and is anticipated to have a 170% home penetration rate by 2026.
- The pandemic has expedited the country's adoption of streaming video content (OTT video) and music and increased interest in online gaming. With the start of the lockdown, the percentage of OTT video subscribers and their viewing time grew. Also, the growth in the OTT sector is attributable to partnering with leading telecom operators to simplify payment methods, localizing offers in terms of language and cost, and differentiating from rivals in specialized and premium categories to enable double-subscription and package bundles.
- Consumers now prefer video OTT services to watch live TV and on-demand content due to the fast expansion of high-speed internet and digital infrastructure. To ensure their interaction with the platform is smooth, immersive, and customized, the top OTT providers in the country have made considerable investments in content delivery systems. With the use of these technologies, clients may enjoy premium watching options. For example, via Jawwy TV's cloud-based solutions, which provide Ultra-HD and 4K content, subscribers may set up several accounts for each family member. This helps the service provider deliver personalized suggestions and parental restrictions.
- Telecom operators are entering adjacent markets like those for video services to monetize their networks and establish differences from their rivals. By doing so, they may raise ARPU and lower churn. Additionally, telecom carriers are frequently collaborating with several OTT video providers. This creates a win-win situation for both parties. It enables them to deal with only one partner and provides clients access to all the material they need in one location. While OTT providers contribute a multitude of expertise in delivering outstanding digital content directly to customers' devices for a top-notch watching experience, telecom operators bring a sizable customer base of connected people through a trusted brand. For instance, Ooredoo Oman partnered with Starz Playfor digital content.
- According to the Capital report on Oman Telecom Sector, Oman has an excellent demographic profile, with around 45% of the population between the ages of 25 and 54, reflecting the country's growing and youthful population. The people of these age groups are mainly attracted to the OTT and SVOD platforms as they have grown up with smartphones, social media, and video games, which provide finely tailored social, and interactive experiences.
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5G Starts Taking Pace
- With a predicted acceptance rate of 49% by 2025 and a total subscriber base of 41 million, the GCC (Gulf Cooperation Council) area is outpacing other worldwide markets in implementing 5G technology. Oman's telecom providers, who launched 5G in 2019 and would have 45% of the population covered by it by 2021, are growing their 5G infrastructure at a rapid rate, much like other regional companies like STC. According to the GSMA, 4G adoption will peak next year when customers switch to 5G contracts. In addition, telecom providers are preparing for a more comprehensive route for technologies like 5G, IoT, and cloud computing as part of Oman's Vision 2040 to satisfy the nation's insatiable demand for mobile and internet services.
- In Feb 2022, Ookla and the Telecommunications Regulatory Authority of the Sultanate of Oman (TRA) are engaging in a collaborative arrangement as part of TRA's aim to leverage the latest technologies and up-to-date insights for understanding mobile and fixed broadband performance across Oman. This comes when the 5G rollout in the country is gaining momentum, and Ookla's enterprise solutions and first-party data are set to empower TRA in assessing the adoption of 5G networks in the Sultanate. This collaboration should help drive network improvements in Oman, delivering significant new value to local mobile operators who build the networks and the consumers who rely on them.
- With several initiatives for digital transformation in various industries already underway, the commercial segment is also anticipated to offer the most significant incremental potential in the 5G era. In certain markets, the average 5G data usage is 2.6 times higher than the average 4G consumption. A similar development is anticipated in Oman's 5G data consumption, which would boost service revenues for telecom carriers. Alongside Oman's expanding 5G network, 5G Fixed Wireless Access (FWA) delivering fixed internet services has continued to grow quickly, and the operators are seeking to spend actively in growing this 5 G network.
- With its vast network capacity and extremely low latency, 5G is the essential enabler for Industry 4.0 technologies, including IoT, cloud computing, big data & analytics, augmented reality, and artificial intelligence. Telecom firms like Omantel and Ooredoo are constantly laying the foundation to assist the public and business sectors in taking advantage of the expanding opportunities brought on by technological advancements. The commercial introduction of 5G for fixed home internet and mobile in Oman was initially announced by Omantel. With expanded network coverage, flexible options, and solid partnerships, the firm keeps strengthening its position as the nation's 5G leader.
- Regarding the quickest 5G download speed, Ooredoo beat Omantel. According to an Ookla report, during Q3 of last year, Ooredoo also had the fastest 5G in Oman at 346.37 Mbps beating Omantel's 228.25 Mbps median 5G download speed. The closest median 5G upload speed for Q3 of last year was between Ooredoo and Omantel, achieving median upload speeds of 27.37 Mbps and 24.78 Mbps, respectively. Also, in terms of 4G availability, Ooredoo bested Omantel. However, Omantel triumphed in terms of 5G availability. Compared to Omantel's 78.4%, Ooredoo had the greatest 4G availability at 84.3%. There was no statistical winner for 5G availability. However, Omantel and Ooredoo both achieved 8.1% and 7.4%, respectively, in Q3 of last year.
- According to an Ericsson report, the anticipated number of 5G mobile subscriptions in the Middle East and North Africa (MENA) and Gulf Cooperation Council (GCC) for the forecasts of 2026 is 150 million and 62 million, respectively. Global digitization was expedited by the pandemic, which also emphasized the value of internet access and attributed to this growth.
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Oman Telecomm Industry Overview
The Oman telecom market is becoming moderately fragmented. Some major players in the market studied include Oman Telecommunications Company, Ooredoo Oman, Vodafone Oman, and Awaser Oman LLC. The market also hosts several internet service providers (ISPs), MVNOs, and fixed-line service providers. Some of Oman's leading telecommunication companies are competitive internationally and hold firm ground in the global telecom space.
In July 2023, Zain Omantel International (ZOI) and China Telecom Global Limited (CTG) have signed a strategic subsea capacity and connectivity agreement to facilitate the global expansion of both parties' market presence in the Asia Pacific and Middle East regions. Leveraging ZOI and CTG's exceptional expertise and network capabilities, this partnership allows the parties to take their service offerings to new heights, delivering high-capacity, low-latency data connectivity across China, Kuwait, Oman, Saudi Arabia, Bahrain, Jordan, Iraq, Sudan, and South Sudan.
In August 2022, Ooredoo announced the news of initiating three additional data centers in Oman. Following the opening of its first location in Muscat last year, the data centers have been established in the three coastal cities of Barka, Salalah, and Sohar. The Salalah and Barka locations would also have two Africa cable landing facilities.
Oman Telecomm Market Leaders
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Oman Telecommunications Company
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Ooredoo Oman
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Vodafone Oman
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Awaser Oman LLC
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FRiENDi Mobile
- *Disclaimer: Major Players sorted in no particular order
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Oman Telecomm Market News
- August 2024 - With the introduction of this bundle, Omantel's customers will gain three months of free access to Viu's extensive catalog of premium Arabic content, along with a unique selection of popular Turkish series and a vast slate of Korean dramas, all dubbed in Arabic (subject to their subscription plan) quality entertainment choices and broad access to a diverse selection of content for users in Oman. It marks another milestone in the relationship between Viu and Omantel, building on the existing collaboration which also includes the option of direct carrier billing for Viu services. Both Viu and Omantel are devoted to consistently presenting superior entertainment experiences for their customers.
- August 2024 - Omantel highlighted its technology-driven solutions during an important ICT event with government officials and business leaders from the Governorate of Dhofar at the “Omantel ICT” event during Khareef Dhofar, in the presence of His Highness Sayyid Marwan bin Turki Al Said, Governor of Dhofar. Omantel showcased the innovative solutions provided by the company that have contributed immensely to supporting the digital transformation process in the Sultanate and strengthening the local economy of the Governorate of Dhofar.
Oman Telecomm Industry Segmentation
Telecom or Telecommunication is the long-range transmission of information by electromagnetic means.
Oman's Telecom Market includes in-depth trend analysis based on connectivity like Fixed Networks, Mobile Networks, and Telecom Towers. The Oman telecom market is segmented by services (voice services (wired and wireless), data and messaging services, and OTT and pay-tv services).
The market sizes and forecasts regarding value (USD) for all the above segments are provided.
| Segmentation 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 2020-2027 and in-depth Trend Analysis) | 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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Oman Telecomm Market Research FAQs
What is the current Oman Telecom Market size?
The Oman Telecom Market is projected to register a CAGR of 2.70% during the forecast period (2025-2030)
Who are the key players in Oman Telecom Market?
Oman Telecommunications Company, Ooredoo Oman, Vodafone Oman, Awaser Oman LLC and FRiENDi Mobile are the major companies operating in the Oman Telecom Market.
What years does this Oman Telecom Market cover?
The report covers the Oman Telecom Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Oman Telecom Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
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Telecommunication in Oman Industry Report
Statistics for the 2025 Oman Telecom market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Oman Telecom analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
