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Egypt’s Mobinil taps into data services

August 11, 2011 • Mobile and Telecoms

Hassan Kabbani, Mobinil CEO (source: mobinil.com)

Mobinil, Egyptian mobile service provider is planning to expand its data services to make up half its revenue by 2013. In addition, Mobinil is planning to switch its focus from market share to boosting revenue per user.

“We have reached a level with pricing that is very difficult now to go below,” said Kabbani.

The announcement comes after the company reported it had recently lost 700 000 users as a result of the Orascom telecom CEO Naguib Sawiris twitter scandal.

In Egypt, data services accounts for less than 10% of Mobinil’s revenue.

Mobinil’s CEO Hassan Kabbani said the segment’s share of revenue has reached double digits but did not reveal any further information.

Mobinil, jointly owned by Orascom and France Telecom, hopes to expand services such as mobile payment and Internet services through LinkDotNet, an ISP it acquired in 2010.

ARPU’s in Egypt have dropped due to price wars.

“The competition is no longer about how many subscriber identity modules (SIMs) or how many customers you can claim to have. It should be more oriented towards average revenue per user (ARPU),” said Kabbani.

“Data can play a role in compensating for what we are seeing. I can expect that maybe in three years from now data revenue will constitute more than 50% of total revenue,” said Kabbani.

Desmond Shephard

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