Algeria Sees Growth in Regulatory Technology for Compliance
Investing in Infrastructure Development
Algeria has made significant strides in its Information and Communications Technology (ICT) sector over the last decade, with the government investing heavily in infrastructure development. Despite this progress, the country still lags behind other African nations in ICT adoption rates. However, gaps persist that present opportunities for U.S. exporters of regulatory technology solutions.
Investing in ICT Infrastructure
According to the Algerian government, more than $3.7 billion has been invested in ICT infrastructure from 2010 to 2019, with an additional $22 billion spent on ICT equipment imports between 2015 and 2019.
Key Investments:
- Telecommunications: Focus on 3G and 4G LTE for mobile telecommunications
- Fixed Telecommunications: ADSL and fiber for fixed telecommunications
- Fiber-Optic Submarine Cables: Connecting Algeria to Europe
Broadband Adoption Rates
Algeria has made significant progress in expanding its ICT infrastructure, with:
- Mobile adoption rates at 108.15 percent of the total population as of February 2022
- Over 120,000 kilometers of optical fiber deployed throughout the country since 2016
- Internet penetration currently standing at 60 percent
Competitive Landscape
The IT segment of Algeria’s ICT industry is well-organized, with specialized distributors, integrators, and nationwide distribution channels providing products, solutions, and services.
Key Players:
- Algerie Telecom: Monopoly over fixed-line and fiber optic networks
- Mobilis, Optimum Telecom Algerie, and Wataniya Telecom Algerie (a.k.a. Ooredoo): Comprise the rest of Algeria’s telecommunications sector
Opportunities for U.S. Exporters
The competitive landscape is generally intense, with current procurement regulations favoring the lowest-cost bidder over the best-value bidder.
Leading Sub-Sectors and Best Prospects:
- Telecommunications equipment (hardware and software)
- Cables (fiber optic and marine)
- IT equipment (hardware, software, integrated solutions, cloud computing, DDC)
- Electronic components
- Printed circuit boards
- Audio/video equipment
Export Diversification Program
Algeria’s export diversification program includes creating an electronics manufacturing hub in North Africa by expanding local manufacturing of ICT equipment.
Opportunities for U.S. Exporters:
- Electronic components
- Printed circuit boards
- OEM
- Audio equipment
For further information and assistance in exploring opportunities in Algeria’s ICT sector, contact Amina Lakehal, Commercial Specialist, U.S. Commercial Service Algeria at Amina.Lakehal@trade.gov.