Despite the global economic recession, new mobile phone companies still enter into Cambodia’s market in order to gain the market share of phone service providers. In the last five years, Cambodia’s mobile phone market has grown rapidly, and those companies are scrambling to gain a foothold as phones and the internet gain popularity. At the mean time, the domestic mobile phone operators remain confident that Cambodia, which is a country with low mobile penetration rates and large untapped markets, will see phone usage continue to boom.
So far, there are 11 mobile phone operators have licensed in the Kingdom of Cambodia. Eight out of 11 companies are operating and trying to be competing. In 2007, the usage of domestic mobile-phone services was up to 49 percent but the national penetration rate remains a low 17 percent.
Most of Cambodian people living in Phnom Penh and provincial towns are using phone service in order to communicate each other but it is still unavailable in some remote rural areas. The presence of phone service providing conceals the fact that the market is still largely in its infancy.
So Khun, Minister of Posts and Telecommunications, said that there are natural limits to the number of operators who could profitably operate in the domestic market, but that its international free trade obligations prevented it from forcing companies to consolidate.
It is expected that the government revenue from the telecommunications sectors increase up to around $30 million in 2009 as the number of phone companies and users in Cambodia are increasing from year to year. In 2008, there were around $28 million in revenue. So far, there are about 4 million mobile phone users in Cambodia.



May 19th, 2009
Cambodia Economy
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