The strategic advantages of moving upstream by telecommunication operators: The case of Asiacell

Abstract

Purpose - This case examines the increase in smartphones and mobile devices usage, and wider utilization of applications, increases the demand for a faster network. The growth of Facebook, YouTube, online banking, and numerous other Media portals caused a call for higher-speed data. Methodology – This paper was conducted as an exploratory qualitative research. Primary data was collection by researchers directly from Asiacell. Primary data was compared with secondary data and available literature. Findings – Moving from 3G to 4G is an expensive affair, internal data by telecommunications operators worldwide showing clear indications of consumer demand, and potential revenues to justify such investments in new infrastructure. This is also true in the move towards 5G networks. Conclusion - Asiacell had to move to 3G technology to maintain competitive advantage, however, because of regulatory, infrastructure, technological, managerial and general business environment in Iraq, Asiacell is unable to move towards 4G anytime soon. This will lead to a loss of market share as current 4G streaming in the Kurdish region of Iraq is being provided by competitor ISP providers, namely Newroz Telecom and affiliated companies.