x Abu Dhabi, UAEWednesday 26 July 2017

Etisalat offers one-fil-a-second global calls on landlines

Etisalat is offering a one-fil-a-second international calls on landlines as competition heats up in the telecoms sector.

UAE telecoms operators including Etisalat are facing increasing pressure on their fixed-line services as voice telephone revenues decline. Sarah Dea / The National
UAE telecoms operators including Etisalat are facing increasing pressure on their fixed-line services as voice telephone revenues decline. Sarah Dea / The National

Etisalat is offering one-fil-a-second international calls on landlines as competition heats up in the telecoms sector.

The UAE telecoms provider said its new tariff would be for 162 countries. However, there was a monthly charge of Dh39 to access the rate.

Telecoms operators are facing increasing pressure on their fixed-line services as voice telephone revenues decline.

As more people are using voice over internet protocol (Voip) services such as Skype, phone companies around the world are being forced to drive down their international rates to remain competitive.

To help counter the decline in their voice telephone revenues, Etisalat and other providers are also focusing on mobile data services.

“I expect Etisalat’s aim is to encourage customers to use its services for international calls, rather than seek alternatives such as Skype,” said Matthew Reed, a senior analyst at Informa Telecoms and Media.

Last month, Etisalat posted an 18 per cent drop in third-quarter profit despite a 20 per cent rise in revenue.

Net earnings amounted to Dh1.83 billion, a decline of Dh380 million from the same period last year. The firm increased its capital expenditure by 39 per cent to Dh1.3bn, as staff expenses rose.

selgazzar@thenational.ae