The broadband and business connectivity market in Gibraltar is currently in the middle of a major transitory phase which, when complete, will potentially improve the level of competition and value of products available to the consumer. This is due to the fact that, until recently, consumers had only two providers from which to choose, both offering very similar products, at similar prices and conditions. However, consumers now have the possibility of having the choice of up to four providers. The Gibraltar Regulatory Authority (GRA), which was established under the Gibraltar Regulatory Authority Act in October 2000, is the statutory body responsible for regulating the electronic communications sector, data protection and the gambling sector in Gibraltar.
Self-sufficient Gibraltar benefits from an extensive shipping trade, offshore banking, and its position as an international conference centre. Tax rates are low to attract foreign investment. The British military presence has been sharply reduced and now contributes about 7% to the local economy, compared with 60% in 1984. The financial sector, tourism (over 11 million visitors in 2012), gaming revenues, shipping services fees, and duties on consumer goods also generate revenue. The financial sector, tourism, and the shipping sector contribute 30%, 30%, and 25%, respectively, of GDP. Telecommunications, e-commerce, and e-gaming account for the remaining 15%. In recent years, Gibraltar has seen major structural change from a public to a private sector economy, but changes in government spending still have a major impact on the level of employment.