Telecom operators fix their eyes on the 34.4 million SIM cards

TIMUR SIRT
ISTANBUL
Published 23.06.2017 22:01
Updated 23.06.2017 22:04
Telecom operators fix their eyes on the 34.4 million SIM cards

Nearly half of 4.5G service subscribers in Turkey reached 5.5 GB of internet usage by increasing their consumption by three-and-a-half times since it was introduced. Now, Turkish telecom operators are targeting 34.4 million users who do not have 4.5G compatible SIM cards or mobile phones

The Information Technologies and Communications Authority (BTK) announced 2017's first quarter market data report, which says that users who applied for 4.5G SIM cards and devices increased their internet usage by three-and-a-half times, using 5.5GB. First offered in Turkey on April 1, 2016, 4.5G services had about 56.4 million users at the end of its first year in the country. That is to say, the remaining 34.4 million users who have not changed their SIM cards to 4.5G cannot make use of the 4.5G infrastructure. The monthly average for mobile broadband internet users is 2.5 GB while the updated ones' is 5.5GB. 2017's first quarter report gives a way for making a clear evaluation on the increasing mobile internet usage related to 4.5G service.

Device campaigns

Numbers show that broadband internet usage in Turkey will continue to increase. Taking these numbers into consideration, telecom operators are accelerating device campaigns. However, the risk operators take is also increasing this way. In the first quarter of 2017, Türk Telekom's fixed monthly tariff is TL 24.49 ($6.99), Turkcell's is TL 28.1, Vodafone's is TL 27.1 and Türk Telekom's (Avea) is TL 26.5. Looking at operators' monthly income per user, it is easy to understand why customers prefer economic devices presented in campaigns. A considerable amount of campaigns offer of the most basic devices. The competition between devices cheaper than TL 1,000 is quite high. Looking at more expensive devices, Samsung and Apple arte on top.

75 million mobile users

Mobile users reached 75.7 million this quarter. The number of M2M (Machine to Machine) users became 4.1 million, resulting in mobile penetration approaching 95 percent. There has also been a continuous progress in fiber cable infrastructure investments in the first quarter of 2017. While the fiber cable infrastructure was 272,550 kilometers in the first quarter of 2016, it reached 197,620 kilometers this year, which is an increase of about 9.2 percent. However, fast growth is expected with the application of the broadband action plan. Report numbers show that Turkey has a long way to go for mobile broadband. While the country's fixed broadband penetration rate per population is 13.6 percent, the penetration rate for Organisation for Economic Co-operation and Development (OECD) is 29.8 percent. Turkey's mobile broadband penetration rate is 67 percent, while it is 95.1 percent on average in OECD countries.

Over threefold increase in user activity due to 4.5G

The number of users actively using 4.5G services, reached 22 million with an increase of 2.8 million. Monthly average mobile data usage was 1.6 GB before 4.5G was offered, and then it reached 2.5 GB for all users at the end of the first year. This dramatic increase caused by 4.5G compatible devices and SIM cards, reveals the reason lying behind people changing SIM cards.

Eyes on data income

Looking at 2017's first quarter report, Turkcell's income from voice service constitutes 12.9 percent, Vodafone's 33.2 percent and Avea's 39.3 percent. SMS and MMS income constitute 3 percent of Turkcell's income, 8.5 percent for Vodefone and 6.9 percent for Avea. Lastly, in terms of internet data income, the numbers are striking., making up 61 percent of Turkcell's income, 55 percent of Vodefone's and 50 percent of Avea's.

Fiber users over 2 million

Numbers show that as well as 4.5G mobile internet, fiber infrastructure has also been effective in the increase in broadband usage. Compared to last year's numbers, especially with the effect of the increase in 4.5G usage, the number of broadband internet users reached 64.3 million, increasing 2.1 million. Some 10.8 millions of them are home users and 53.5 million are mobile users. This quarter, the number of fiber users surpassed 2 million for the first time. The total number of registered internet users increased 24.3 percent when compared to last year. The highest increase was in mobile internet usage, with an approximate increase of 29.2 percent, while landline internet followed with an increase of 18.2 percent. In the first quarter of 2017, the monthly average for landline broadband users increased 11 percent when compared to last year and reached 72.9 GB. Monthly average usage of mobile broadband use was 2.5 GB. When both categories are compared to those of last year, landline broadband users' average usage increased 7.2 percent while mobile broadband users' increased 10.3 percent.

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