Azerbaijan National Human Development Report 2003
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INFORMATION TECHNOLOGIES AND HUMAN DEVELOPMENT: DIFFUSION AND APPLICATION OF ICT

Chapter 2


2.2. Information Technologies Development Status

2.2.3. Cellular Communication

Cellular telephone communication is currently the most developed field of ICT in the country. Two cellular link operators Bakcell (GSM 2,000) and Azercell (GSM 900) had a total of 808,100 clients as of January 1, 2003 (State Statistics Committee). Cellular communication covers approximately 80 percent of the country's territory. Both companies have ambitious plans to expand their client base. In particular, Azercell plans to increase the number of its clients by 700,000 and its coverage up to 95 percent of the territory. Bakcell, which has some 120,000 users, invested $10 million in 2001 to increase its client base to 200,000. But these plans are restricted by the low incomes of the population. Despite the rather low income per capita Azerbaijan is one of the leading states in the CIS in terms of telephone clientele per 10,000 populations.

Both operators offer international roaming, which is relatively expensive. In advance paid cellular communication services, mobile banking, Internet, the Short Message Service (SMS) and other additional services have allowed operators to attract clients from pager communication and other communication sectors. In July 2001, Azercell, in cooperation with ISP Azeronline, presented mobile Internet in Azerbaijan.

According to a survey by the World Bank, Azerbaijan ranks first among the CIS states in terms of cellular communication link distribution among clients.


Table 2.10. Azerbaijan: Growth of Mobile Telephone Subscribers (1993-2002)



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