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Uzbekistan's fixed broadband markets sees stellar growth

Uzbekistan's fixed broadband markets sees stellar growth

For many years Uzbekistan has been struggling to bring its telecommunications system up to the standard found in developed countries.

Over the last two decades the situation has been gradually transforming, due largely to a government decision to give national priority to the Information & Communications Technologies (ICT) sector, according to Research & Markets.

The fixed line market in Uzbekistan remains underdeveloped. A major reason for this is due to the dominance of the mobile segment. There was very strong growth during the 2014 to 2017 time-period. The market is predicted to grow moderately to strongly over the next five years to 2022.

The penetration of Internet users in Uzbekistan remains low compared to other developed Asian nations however has grown very strongly over the past five years driven by strong growth in mobile broadband. Moderate to strong growth is predicted over the next five years as the penetration of mobile broadband is predicted to continue to increase.

The internet access remains limited for the majority of the country's population, more than 60% of whom lived in rural areas. The highly competitive nature of the ISP market had resulted in a fall in access prices and the provision of flexible packages.

Fixed broadband penetration in Uzbekistan remains low mainly due to a limited number of fixed lines and the dominance of the mobile platform. The government has long recognised that the internet remains a critical factor in the social and economic development of the country although the level of fixed broadband subscriptions has not matched the increasing internet usage levels in the country. However the market has grown exceptionally strongly over the past five years. Over the next five years to 2022 strong growth is expected to continue driven by rising fixed line penetration.

Uzbekistan's mobile market is relatively underdeveloped on international comparison and has experienced slow to moderate growth over the last five years. Moderate growth is predicted over the next five years to 2022. The market will be constrained from higher growth due to strong local competition and a maturing market.