Telecoms & ITC

Microsoft, Google eye Arabic web growth potential

The further integration of Arabic language capabilities in internet and other technological architecture will grant millions access to the digital world, Microsoft and Google executives said. As devices and applications become more ubiquitous in less developed countries, their content will grow and an embryonic e-economy should flourish, they said. "(Microsoft CEO) Steve Ballmer and I a few years ago talked and believed Arabic would be an increasingly important language," said Craig Mundie, Microsoft's chief research and strategy officer. "And yet, because of the way the internet was evolving, it wasn't a language that was getting a lot of use." But while Arab world internet use since 2000 has grown faster than anywhere else and access costs have shrunk, content still punches below its weight and ad spending remains tiny. Arabic content is less than 1 per cent of world totals though speakers constituting 5 per cent of the global population. The Arabic portal of online encyclopedia Wikipedia carries fewer words than its Catalan site, Google's regional marketing manager Wael Ghonim said. "There is a lot of Arabic content but it is not well structured," he said. "We want more structured content. We want more of the professional, niche sites, more businesses. One of our biggest missions is to enable Arabic users to find the right tools to enrich Arabic content," Ghonim said. "It would be great to see more e-commerce in the region, more publishers, more news sites. We are committed to help them." Asked how Google could aid such regional growth, Ghonim said: "We have a very ambitious plan in the next few months, we are working on many initiatives." He did not elaborate. Regional spending on online advertising was around US$90 million in 2009, up from US$66.5 million in 2008 and US$38 million in 2007 but still miniscule compared to Britain's US$5.3 billion. Ghonim said Arabic speakers have historically engaged in poorly organized and difficult to archive forums, citing a message board used by 400,000 teachers in Saudi Arabia. Both Google and Microsoft place Arabic in their top ten languages in need of prioritized attention.

Middle East internet users increase to 56 million

Internet users in the Arab World have gone up 228 per cent from just 16.5m in 2004 to 56 million today. The largest increases by percentages have been seen in Egypt (20%), Morocco (18%) and Saudi Arabia (17%), whilst the UAE has the regions highest Internet penetration rate with 60 per cent of the population online. To-date there are 26 million personal computers in the Middle East, up from 11 million in 2004. Understanding the dynamics of the region and with users rapidly heading online Google has noted a demand for basic guidance on net navigation, search tips and more. Catering specifically to new, first time Internet users, Google has launched a beta version of 'Ahlan Online', an Arabic website dedicated to providing MENA users with the skills they need to navigate the Internet using Google tools. Designed to provide educational tips and guidance on basic online usage such as Google search, Gmail, Google Talk (chat) and Privacy settings (web safety), the site will assist new users rapidly learn the basic Google tools and practices of the Internet. 'Ahlan online' will continue to be enhanced based on users' feedback and needs, in addition to increasingly providing interactive guidance for a greater number of Google products and applications.

Orascom, France Tel reach accord on Egypt spat

Orascom Telecom (OT) and France Telecom said they had a broad deal to end a battle for control over Egypt's Mobinil (EMOB.CA) and would finalize a new shareholder's pact in weeks. Both sides met Egyptian regulators in mid-April to present the plan that would resolve the bitter three-year spat, which played out in arbitration courts from Europe to Egypt and at times inflamed nationalist passions as Orascom's influential owner Naguib Sawiris vowed not to cede to French pressure. According to a joint statement, France Telecom and Orascom "will continue their partnership on a renewed basis ... implementing a revised shareholder agreement, but with no change to the existing ownership structure or their shareholders' voting rights." "We have a master agreement signed," France Telecom's deputy chief executive officer Jean-Yves Larrouturou told a joint news conference with Orascom in Cairo. "We are here with something which is clearly defined, even if some points are still to be finalized in the coming weeks." Orascom Chief Executive Officer Khaled Bichara said that, although some "important details" remained, both sides would "continue to work in good faith to finalize everything."

From the Middle East to the world: Building a global telecom operator

Fueled by their financial strength, and compelled by increasing competition and saturation of their home markets, Gulf Cooperation Council (GCC) telecom operators have launched unprecedented international expansion programs since 2004. Going global, however, comes with a new set of challenges. The operators that most effectively address these challenges will be best positioned to capture maximum value from their investments and earn a place among the world's leading global operators, according to a new study by Booz & Company. Many GCC operators are seeking international expansion and growth and some hope to claim a spot among the world's leading global enterprises. The operators that have the best chance of achieving this will be those that are able to successfully transform their structures, systems, and processes, enabling their people to effectively and efficiently execute and compete anywhere in the world.