Page 50 - IRANRptMay21

s Infrastructure Company
Iran’s mobile imports up 37% in first eight Persian months
Telecommunications Infrastructure Company (TIC), CITNA reported on November 11.
TIC has historically been the sole provider of telecommunication infrastructure to all private and public operators in Iran. Prior to the announcement, TIC had come under increasing criticism for its lax attitude to investment in fibre broadband and maintenance of Iran’s ageing telecoms network. TIC was also the sole company to turn to for all international gateways and IP capacity and connectivity services in the country.
Azari Jahromi said: "With this lifting of the monopoly, the company has been prevented from turning into a radio and other telecommunications company, and measures will also be taken to lift the data monopoly by the end of this government."
The minister highlighted a lack of customer attention and transparency in TIC’s operations, adding that “to change the direction and move towards customer-oriented business and network development, a change was needed in TIC.”
Azari Jahromi added: "By changing the structure and creating transparency and integration of services, TIC becomes one of the best service operators." He added that rural telecoms development was progressing rapidly and that the industry has grown by 2.5 times in Iran in recent years.
Rapid developments in Iran’s mobile telecommunications industry driven by companies including partly South African-owned MTN-Irancell have left traditional telephone and internet providers struggling to keep up. MTN-Irancell and the country’s biggest mobile network, Mobile Communications of Iran (MCI), invested in providing new mobile networks including fourth generation mobile services (4G) from 2016 and recently started the roll-out of fifth generation (5G) mobile connectivity.
The rollout forms part of a push by the government to spearhead the digitisation of state services and keep up growth in Iran’s technology sector despite the coronavirus (COVID-19) crisis that is now into its third wave in the country.
In July, Iranian President Hassan Rouhani said that the 5G network launch was “good news”, adding that it represented a significant chance for people to become familiar with how to use new super-fast internet connections.
Iran imported 7.8mn mobile phones through official channels in the first eight months of the 2020/2021 Persian calendar year (started March 20), marking a 37% y/y increase, ICTNA has reported, citing customs data. Since 2018, when Iran brought in a registration system for any new mobile phone a user wishes to connect to the telecoms network, officials have clamped down on grey market imports of smartphones and other mobile handsets.
Islamic Republic of Iran Customs Administration (IRICA) said in a statement: “In the past eight months of Iranian year 1399, about 7.8mn mobile phones worth $1.198bn have been imported into the country.”
In the first eight months of the 2018/2019 Persian year, mobile phone imports reached 5.6mn in terms of the number of phones and $647mn in value, IRICA added. For the entire 12 months of that year, the figures were 11.184mn at a value of $1.442bn.
IRICA spokesman Ruhollah Lotifi said: "A low import custom charge of 5% applied to mobile phones has facilitated the import process for this item. It is low due to the lack of smartphone production in the country.”
Despite the severe devaluation of the Iranian rial making imports more expensive, mobile phones remain a popular item among Iran’s youth. Brands such as Xiaomi, Huawei, Samsung and Apple are among foreign
50 IRAN Country Report May 2021 www.intellinews.com