Overview
The 5G and telecommunications sector in Oman represents a significant component of the Sultanate’s economic landscape. As Oman pursues its Vision 2040 diversification agenda, this sector has attracted growing attention from policymakers, investors, and industry participants alike. This page provides a comprehensive analysis of 5G and telecommunications in Oman, covering market fundamentals, competitive dynamics, strategic alignment, and forward-looking investment considerations. Understanding the current state and trajectory of 5G and telecommunications is essential for stakeholders seeking to participate in Oman’s economic transformation.
Market Size & Growth
Oman’s ICT sector is valued at over 2.5 billion OMR, with telecommunications accounting for the largest share. Mobile penetration exceeds 150 percent, with 5G networks actively expanding coverage. Fixed broadband penetration continues to grow, supported by fibre-optic infrastructure rollout. The digital economy, including e-commerce and digital services, is estimated to contribute more than 3 percent to GDP with strong growth trajectories. The sector employs over 20,000 professionals, with demand for skilled technology workers consistently outpacing supply.
Key Players
Oman Telecommunications Company (Omantel) is the incumbent operator and largest ICT company, while Ooredoo Oman provides competitive mobile and broadband services. The Information Technology Authority (ITA) drives e-government initiatives and digital infrastructure. Data centre operators include Oman Data Park and the recently established national cloud platform. Technology companies including Microsoft, SAP, and Oracle maintain regional operations. Local startups are supported through incubators and accelerators operated by entities such as the National Business Centre.
Vision 2040 Alignment
Digital transformation is a cross-cutting priority under Oman Vision 2040, with ICT identified as both a standalone sector and an enabler of modernisation across the economy. The e.Oman strategy targets comprehensive digital government services and a thriving digital economy. Cybersecurity has been elevated to a national priority with the establishment of dedicated agencies and regulatory frameworks. The Sultanate aims to become a regional hub for cloud computing and data hosting, leveraging its strategic location and submarine cable connectivity.
Investment Outlook
ICT investment opportunities span telecommunications infrastructure, data centres, cloud services, cybersecurity, and software development. The 5G rollout creates demand for network equipment, edge computing, and IoT solutions. Data centre development benefits from Oman’s cool coastal climate, competitive energy costs, and submarine cable landing points. Cybersecurity presents a rapidly growing market as public and private organisations invest in threat protection. E-commerce platforms, fintech applications, and SaaS products offer scalable business models in a market embracing digital transformation.