Cost of telecommunications, ADSL internet services declines during Q2 of 2016

Mohamed Alaa El-Din
2 Min Read
A vast database of files and emails belonging to a controversial Italian digital surveillance company was leaked online on Sunday night, providing evidence of Egypt’s purchasing of spy-software. (AFP File Photo)

The Ministry of Communications and Information Technology’s report disclosed that prices of telecommunications services (mobile and internet) declined significantly in the second quarter (Q2) of 2016 compared to the same period in 2015.

According to the report, the cost of mobile services declined from $2.77 in Q2 of 2015 to $2.3 in Q2 of 2016, while ADSL internet services’ prices declined from $9.83 during Q2 of 2015 to $5.6 in Q2 of 2016.

The cost of fixed phones service dropped from $2.12 during Q2 of 2015 to register $1.8 during the same period in 2016.

The cost of mobile phone usage is being calculated according to the price paid in advance for every 30 calls and 100 text messages per month distributed on the same mobile network and other competitive networks, as well as ground networks in peak times and on weekends.

ADSL internet prices are calculated according to the lowest price to the monthly subscription for the company that acquires the highest market share of subscribers.

On the other hand, the report revealed that the GDP of the telecommunications sector registered a growth rate of 9.9% during Q2 of this year compared to the same period in 2015. The sector’s contribution to the total GDP is EGP 14.24bn compared to EGP 13bn in 2015—an increase of EGP 1.2bn.

The telecommunications and information technology sector’s contribution to the state’s GDP is roughly 3% in Q2 2016 compared to 2.8% during the same period in 2015.

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