Marc Biosca

FIRST WORD

The trouble with technology

August 2010

Marc Biosca, head of the communications and media practise for the Middle East at consultancy AT Kearney, discusses possible curbs on Blackberry mobile phones in the Middle East

At the end of July, the United Arab Emirates raised the possibility of restricting or monitoring Blackberry mobile phones. Why?
Some Blackberry services use a rather sophisticated encryption method on data transfers and can run on servers which are located outside the national territory, in Canada and the UK to be precise.  While this is seen by some users as an advantage – since it protects personal and corporate secrecy – it has raised security concerns among various Middle Eastern and Asian governments which face restrictions when trying to monitor some of these communications for national security purposes. In the UAE, it seems there is also an issue of compliance with a recent legislation. Some Blackberry devices and related services and applications were introduced in the UAE in 2006, prior to the country’s 2007 ‘Safety, Emergency and National Security’ rules, and now some action seems to be required to ensure proper compliance with this law.

What impact could such developments have for the estimated 500,000 Blackberry users in the UAE?
Blackberrys have become a very familiar element in most of our day-to-day’s lives, allowing for enhanced personal and professional communications while being on the move. Mobile data communications play an increasingly important role in our communities and also represent a major driving force in growing professional productivity for many professionals and corporations. At the same time, telecom operators are witnessing how mobile data services represent a growing source of income which compensates for the slowdown on voice revenue growth due to price erosion as a consequence of increased competition. Since a restriction in the use of Blackberry services would have a very negative effect on communities, corporations and telecom operators, we expect that the collaboration between regulators and operators will lead to a resolution of this issue, allowing consumers and corporations to continue benefiting from the Blackberry services, while enabling the compliance with UAE law and the country’s 2007 Safety, Emergency and National Security rules.

Are tough actions by regional regulators likely to hinder the development of the regional information technology industry?
Mobile data communications have become a driving force behind increase in business efficiency by a number of professionals and corporations around the globe as well as in the Gulf Co-operation Council. While national security is a very important matter which deserves highest priority by governments and regulators, we are confident that the collaboration between operators and regulators will lead to a positive resolution of this issue.

How can phone companies help governments to deal with security issues?
According to public reports, regional telecom operators and Research in Motion Ltd (RIM) have been actively collaborating and working together with regulators for some time to resolve these critical issues, with the objective of finding a solution that safeguards consumers and operates within the boundaries or GCC states’ domestic laws.

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