Myanmar's foreign telcos exit under market pressures
The outlook for Myanmar's telecom sector and along with the prospects for the rest of the country and appear increasingly grim. A military coup in February 2021 reversed much of the progress made since the telecom market was liberalised in 2014. With one of the two privately-owned mobile operators being forced into a fire sale and a rapid exit (leaving more than 16 million subscribers communications exposed to scrutiny from the junta), there appears little chance of Myanmar returning to anywhere near the levels of growth and relative prosperity experienced during the decade of civilian rule.Following the awarding of two new mobile licenses (to Qatar's Ooredoo and Norway's Telenor Group) in 2014, the number of Myanmar's mobile subscribers more than doubled over the following five years, exceeding a penetration rate above 120%, though since then growth has been more moderate.
Mobile broadband penetration followed a similar trajectory, with spectacular growth from a nascent market in 2013, to reaching a 90% penetration rate by 2017. The onset of the pandemic dampened the growth rate in 2020 and 2021, but it was the return to military law at the start of 2021 which really turned the situation on its head. The coup resulted in a complete shutdown of the internet for April of that year, while the junta's soldiers also damaged infrastructure such as data centres. Additional tax burdens imposed as part of the Union Tax Law 2021, and charges for new SIM card registrations, have resulted in more expensive services for end-users, and stressed the finances of the key telcos Ooredoo Myanmar and Telenor Myanmar.
Before the coup took place, officials from the Ministry of Transport and Communications (MoTC) issued orders for the country's telcos to install surveillance software (spyware) in their networks to allow the army to eavesdrop on the communications (both voice and data) of private citizens. While the government-backed operators MPT and Mytel were most likely to have complied, Ooredoo and Telenor resisted the demands. That led to the military banning the executives of the private operators from leaving the country, as well as threatening to rescind their mobile licenses. Rather than acceding to such demands, Telenor chose to withdraw from the market completely, largely writing off its business in a fire sale to Lebanon's M1 Group.
Ooredoo Group delayed following suit until September 2022, when it announced an agreement to sell its local unit to Nine Communications (based in Singapore) for $576 million.
This product will be updated with the latest data at the time of order. Consequently, dispatch time for this product will be 7-10 business days.
Table of Contents
- Key statistics
- Regional Asia market comparison
- Market characteristics
- Market Leaders
- Market Challengers
- Market Emergents
- TMI vs GDP
- Mobile and mobile broadband penetration
- Fixed versus mobile broadband penetration
- Country overview
- Telecommunications market
- Regulatory environment
- Regulatory authority
- Market liberalisation
- Mobile developments
- SIM cards
- Spectrum
- Mobile market
- Mobile broadband
- Mobile infrastructure
- 5G
- LTE
- 3G
- Mobile towers
- Major mobile operators
- Myanmar P&T (MPT)
- Ooredoo
- ATOM (Telenor Myanmar)
- Myanmar National Tele & Communications (Mytel)
- Fixed broadband market
- Fixed broadband providers
- Fixed wireless broadband providers
- Fixed-line broadband technologies
- Wi-Fi
- Fixed network market
- Digital economy
- e-Payments
- Digital media
- Telecommunications infrastructure
- International infrastructure
- Satellites
- Submarine
- Terrestrial cables
- Smart Infrastructure
- Internet of Things (IoT)
- Appendix - Historic data
- Glossary of abbreviations
- Related reports
List of Tables
List of Charts
List of Exhibits
Companies Mentioned
- Myanmar Post and Telecommunications (MPT)
- ATOM (Telenor Myanmar)
- Ooredoo Myanmar
- Mytel.