Telecommunications sector in Azerbaijan is the second largest recipient of foreign investment after oil industry. The largest FDI stock is in the mobile telephony followed by a number of enterprises with foreign capital in landline operating companies, internet providers and cable TV companies.
Further development of the legal framework aimed at liberalization of the market has provided substantial business opportunities for foreign companies. There are four mobile operators in the country: Azercell, Bakcell, Azerfon and Catel. There are 9.1 million cell phone subscribers in Azerbaijan with mobile penetration reaching 100%. A network of 30 ISPs serves millions of Internet users in Azerbaijan. The country’s Internet penetration rate is almost 70%.
Establishment of regional innovation zones (technoparks) with a strong research component that will promote innovation entrepreneurship as well as production and export of electronic equipment and software is one of the sector’s medium-term goals. The Government sees the development of the space industry as part of its broader plans to transform Azerbaijan’s information communications technologies sector into a highly competitive industry. Azerbaijan is going to be the first country in the South Caucasus to launch a satellite. The satellite was launched in 2013 in partnership with a US-based contractor Orbital Sciences Corporation. The satellite includes intra-governmental mobile telephone communications, television, radio and internet broadcast capabilities and will be accessible in Europe as well as Central and South-East Asia. Azerbaijan is also one of co-sponsors of the UN resolution on Building connectivity through the Trans-Eurasian Information Super Highway aimed at promoting the development of ICT infrastructure and e-commerce throughout Eurasia.
Read more at Ministry of Communications and High Technologies of the Republic of Azerbaijan