Du's parent reorganises in search of new revenue streams
EITC appoints two deputy-CEOs and creates three new divisions
Emirates Integrated Telecommunications Company (EITC), the holding company behind Dubai-based telco du, has overhauled its organisational structure to focus on managed services and other growth areas, amid flattening traditional revenues sources.
The company on Wednesday appointed two new deputy chief executives, Fahad Al Hassawi and Farid Faraidooni, who will head up newly created divisions for Digital Lifestyle and Innovation, and ICT Solutions respectively.
The new ICT Solutions division is geared towards the delivery of managed IT and telecoms services to government and enterprises, encompassing technologies including enterprise networks, security, data centre services, as well as cloud services and applications.
Such services accounted for around 2.5 per cent of EITC’s total revenues in the second quarter of the year, chief executive Osman Sultan said in July, with the operator intending to lift this figure to 15 per cent by 2021.
“The rapid development of smart technology, combined with our increased reliance on cloud services and the explosive impact of big data and IoT (internet of things), has redefined the way people interact and how companies do business,” Mr Sultan said in a statement on Wednesday.
“This has changed both enterprise and consumer markets and compelled telecommunications service providers to adapt to these new market realities.”
The creation of the new ICT Solutions division follows a similar move by competitor Etisalat, which launched its Etisalat Digital division to capitalise on similar opportunities last year.
Mr Sultan warned in July that du would continue to face “challenging market conditions” and ongoing pressure on mobile rates and data monetisation, challenges faced by much of the telecoms industry worldwide.
EITC’s new Digital Lifestyle and Innovation division will focus on “the development of innovative products and services for UAE consumers including video and smart home services,” the company said.
It is unclear as to whether the Virgin Mobile brand - launched by EITC in the UAE last month - will fall under the division.
A third new Infrastructure division – encompassing the company’s network, infrastructure and data centre operations – will be led by Saleem Al Blooshi, who has been appointed as the company’s new Chief Infrastructure Officer.
The company also announced the appointment of Eddy Skaf as chief strategy officer.
Du’s shares were up 0.2 per cent at Dh5.35 in early afternoon trading.
Updated: October 18, 2017 01:51 PM