India’s leading telecommunications operator Bharti Airtel may be planning to expand its network in South Africa and Cameroon, as learned through industry sources. Airtel is a dominant player in the mobile industry with operations in 19 countries across Asia and Africa.

Mobile penetration has steadily been increasing in African countries, and with most of the global markets being saturated, emerging markets such as Africa provide mobile operators with new opportunities to increase their subscriber base and enhance their revenue.

Currently Airtel offers services in Nigeria, Burkina Faso, Chad, Congo Brazzaville, Democratic Republic of Congo, Gabon, Madagascar, Niger, Ghana, Kenya, Malawi, Seychelles, Sierra Leone, Tanzania, Uganda and Zambia. By adding South Africa and Cameroon, two of Africa’s fastest growing mobile economies to the list, Airtel aims to strengthen its position in Africa.

Airtel is the leading mobile operator in India and is well known for its innovative and competitive tariff pricing. The operator’s entry into these new markets is expected to take the mobile industry by storm and introduce an unprecedented level of competition.

Airtel presently offers services in 15 cities in India and with the population of one Indian city being similar to that of one African country, South Africa and Cameroon have the potential to be extremely lucrative for Bharti Airtel.

Further, sources claim that rival operators currently offering services in these economies such as MTN, Vodacom and Orange are already working on strategies to maintain their market share and offer stiff competition to Airtel.

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India’s leading mobile phone operator Bharti Airtel has reportedly begun the operation of its money-transfer service in Madagascar, in an attempt to provide financial services for the unbanked via their mobile devices. According to reports, Heiko Schlittke, Director, Airtel Madagascar, had earlier said that the service would compete with Orange SA’s Orange Money and the M-Vola product offered by Telma, the state-run phone company.

As per sources, the mobile operator has entered into an agreement with the taxi operators association, thereby enabling passengers to pay for their taxi fare using their Airtel Money account. Further, reports reveal that the operator has also provided around hundred taxis with the required reader equipment. The selected taxis will display the Airtel logo and the drivers will be required to wear a red jacket provided by Airtel.

 

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Bharti Airtel, a leading telecom operator has signed a contract reportedly worth $ 700 million with Nokia Siemens Networks to expand its 2G network and deploy and manage 3G services in Africa.

As per the agreement, Nokia Siemens Networks will manage all network operations as well as provide energy-efficient base stations for Airtel in seven African countries including Madagascar, Malawi, Zambia, Tanzania, Kenya, Uganda and Congo Brazzaville. In an attempt to increase its subscriber base, Airtel has been expanding its presence in Africa’s rural regions.

According to reports, Manoj Kohli Airtel’s CEO (International) and Joint Managing Director said that this partnership will further enable them to rapidly expand their network coverage and provide high-speed wireless internet connectivity to their customers. Further, Nokia Siemens Networks, Chief Executive Officer, Rajeev Suri said that they look forward to working closely with Airtel to expand its network rapidly and deliver the right innovative products and services to help meet user demands.

 

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For about three million people that constitute the poorer section across Africa and South Asia, it will now be easy acquiring low-cost mobile phone numbers. The United Nations in collaboration with a technology firm Movirtu will roll out an initiative that will rope in the private sector in the fight against poverty. As part of this scheme backed by the UN, the majority of the beneficiaries would be women.

The Movirtu provided cloud phone number will enable the owner to use any mobile phone to log in with their unique number to make and also, receive individual calls instead of sharing a phone number with family members and so forth. These unique numbers will also help the users gain access to critical information and services in the form of banking or agriculture support.

The Business Call to Action (BCtA) is a global initiative under the aegis of the UN Development Programme (UNDP), the UN Global Compact which is the corporate responsibility scheme, in addition to few other organizations and governments, as part of which the UN-backed scheme is being undertaken.

Movirtu is based in the United Kingdom, and the company is looking to usher in the phone technology to minimum 12 markets across Africa and South Asia by early 2013. This move will facilitate access to the technology, to at least 50 million people across both the continents. In addition, the target for the technology’s usage on a regular basis would be 3 million.

By way the unique personal mobile identity, users stand to get access to network applications that provide information about employment opportunities, promote access to mobile payment systems or banking services, and help keep users up-to-date on a variety of health and market topics.

Women in rural communities across South Asia and sub-Saharan Africa are the primary targets of this scheme.

Movirtu has been instrumental in implementing these phones across Africa; Madagascar being the first market entry point while additional country launches will be announced later this year.

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France Telecom-Orange’s director of international relations for contactless payment systems, Jean-Christophe Bernard has announced that Orange Tunisia is planning to introduce Mobile Money before the end of the year.

According to the company, only half of Tunisia’s bank account holders are using bank cards at present and that its service could complement bank cards excellently.

Orange first introduced a service called Orange Money in Senegal, Mali and Madagascar last spring, then in Kenya in the summer.

 

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South Africa’s VWV Group, an experiential communications agency, was recently appointed to produce the launch of a new mobile telecommunications network into Africa.

Bharti Airtel commissioned VWV to launch the brand into 16 African countries, through events that ran simultaneously.

Airtel’s launch was conceptualized, produced and managed by VWV. The launch consisted of an interactive production which saw a tie between pre-recorded video and live theatrical presentations.

These events were staged in Burkina Faso, Chad, Democratic Republic of Congo, Republic of the Congo, Gabon, Ghana, Kenya, Malawi, Madagascar, Niger, Nigeria, Seychelles, Sierra Leone, Tanzania, Uganda and Zambia.

Airtel Africa, Standard Chartered Bank and MasterCard Worldwide were honored for mobile payments innovation at the 16th Annual Global Mobile Awards held during Mobile World Congress (MWC) 2011. The recently launched virtual card product, developed in collaboration between Airtel Africa, Standard Chartered and MasterCard, received top honors as the Best Mobile Money Product or Solution.

Honored by a panel of mobile industry experts, the virtual card product was recognized as an innovative mobile payments solution that will offer consumers in Kenya, and eventually across Africa, greater participation in the financial system through mobile commerce. In collaboration between Airtel Africa and Standard Chartered, the virtual card product is powered by MasterCard inControl technology and enables more people to connect to the global marketplace through their mobile phones.

Andre Beyers, Airtel Africas chief marketing officer, and Daniel Monehin, area head, East & West Africa and Indian Ocean Islands, MasterCard Worldwide, received the award on behalf of the three companies at the Global Mobile Awards 2011 ceremony held at the Fira De Barcelona in Montjuc, Barcelona, Spain.

The virtual card product enables Airtel Africa customers in Kenya to use their mobile phone to make online purchases from MasterCard merchants around the world. The simplified online transaction works in the following way: each time an Airtel customer is shopping online he or she will be able to request a single use shopping card number. Airtel money services will then generate a special 16-digit number that enables the completion of the transaction. On completion of the transaction, a confirmation message will be sent to the consumers mobile phone. The single use feature of the virtual card product provides the consumer with a convenient and secure online shopping experience.

We partnered with Standard Chartered and MasterCard in a joint effort to create affordable and innovative mobile services for consumers across Africa, said Beyers. It is a tremendous honor to be recognized by our peers in the mobile industry for the virtual card product, which we hope will set a new industry standard for mobile payments.

We are extremely pleased that this concept has been selected for the GSMA 2011 Best Mobile Money Product or Solution Award. This global award is fitting testimony to telecom & banking companies in Africa, who are the agents-of-change in the development of mobile finance and commerce, said Jaydeep Gupta, Standard Chartered Banks regional head, Distribution & Alternate Channels for Africa, NGL, MESA & India. We are proud of our unique partnership with Airtel Africa and MasterCard. Together we will continue to deliver innovative payment solutions across our geographies.

Said MasterCards Monehin, Consumers are increasingly reliant on mobile technology at each step of their lives from staying connected with their personal networks to making payments on-the-go. We joined hands with Airtel Africa and Standard Chartered to create the virtual card product that not only enhances peoples purchasing experiences, but also creates a financially inclusive mobile platform for people in Africa. We believe that innovations like the virtual card product will help ensure the long-term growth and sustainability of mobile commerce in Africa. We are committed to improving industry collaboration and fostering innovation as well as building interoperability across closed loop systems in Africa and abroad.

About Airtel in Africa
Airtel is the new brand name for the 16 Zain operations across Africa which were acquired by Airtel International in June 2010. Airtel is driven by the vision of providing affordable and innovative mobile services to all. Airtel has African operations in: Burkina Faso, Chad, Democratic Republic of the Congo, Republic of the Congo, Gabon, Ghana, Kenya, Malawi, Madagascar, Niger, Nigeria, Seychelles, Sierra Leone, Tanzania, Uganda and Zambia. Airtel International is a Bharti Airtel company.

About Standard Chartered Bank

Standard Chartered PLC is a leading international bank, listed on the London, Hong Kong and Mumbai stock exchanges. It has operated for over 150 years in some of the world’s most dynamic markets and earns more than 90 per cent of its income and profits in Asia, Africa and the Middle East. This geographic focus and commitment to developing deep relationships with clients and customers has driven the Bank’s growth in recent years.

With 1,700 offices in 70 markets, Standard Chartered offers exciting and challenging international career opportunities for more than 80,000 staff. It is committed to building a sustainable business over the long term and is trusted worldwide for upholding high standards of corporate governance, social responsibility, environmental protection and employee diversity. The Bank’s heritage and values are expressed in its brand promise, ‘Here for good.’

About MasterCard Worldwide

As a leading global payments company, MasterCard Worldwide prides itself on being at the heart of commerce, helping to make life easier and more efficient for everyone, everywhere. MasterCard serves as a franchisor, processor and advisor to the payments industry, and makes commerce happen by providing a critical economic link among financial institutions, governments, businesses, merchants, and cardholders worldwide. In 2010, $2.7 trillion in gross dollar volume was generated on its products by consumers around the world. Powered by the MasterCard Worldwide Network the fastest payment processing network in the world MasterCard processes over 23 billion transactions each year and has the capacity to handle 140 million transactions per hour, with an average network response time of 140 milliseconds and with 99.99 percent reliability. MasterCard advances global commerce through its family of brands, including MasterCard, Maestro, and Cirrus; its suite of core products such as credit, debit, and prepaid; and its innovative platforms and functionalities, such as MasterCard PayPass and MasterCard inControl. MasterCard serves consumers, governments, and businesses in more than 210 countries and territories.

Telecom Malagasy’s Chief Executive Officer Patrick Pisal-Hamida expects to triple the number of users of its money-transfer service by the end of this year.

According to Pisal-Hamida, Telma has attracted 200,000 M-Vola users since starting the system in May 2010 and plans to reach 600,000 by the end of December.

The company, which has 60% of the money- transfer market, competes with France Telecom Ltd.’s Orange and Bharti Airtel Ltd.’s local unit in the Indian Ocean island nation, where mobile-phone users have increased to 4.2 million from 1 million in 2007. Madagascar has a population of about 20 million.

He added that if there hadn’t been a crisis, Madagascar would be at 6 million and this is what they are expecting will  happen in the two years following its resolution.

Madagascar’s economy contracted 3.7% in 2009 and 2% in 2010, according to the International Monetary Fund, the only one in Africa to shrink last year. The European Union and the U.S. halted non-humanitarian aid to Madagascar after President Andry Rajoelina, a former DJ and mayor of Antananarivo, seized power from his predecessor Marc Ravalomanana with the help of the military in March last year and later reneged on power-sharing agreements.

Pisal-Hamida stated that business is expected to stagnate this year and turnover may rise or fall by 5% depending on the crisis.

Beeline single mobile operator informs about further expansion of international roaming network. Now voice roaming is available in Telecom Seychelles (Seychelles), Elisa (Finland), Wana (Marocco), Wind (Italy).

The company signed GPRS roaming agreements with Cellplus (Mauritius), Latelz (Cambodia), Vodafone (Hungary), Cable&Wireless (Guernsey), Orange (Madagascar), U-Mobile (Malaysia), Alands (Finland), Manx Telecom (Mann island). CAMEL roaming is available in Bakcell (Azerbaijan) and Africell (Gambia).

“In 2010 we were first in Uzbekistan in number of roaming partners around the world,” Anton Golikov, Technical Director of Unitel LLC commented the event. “Beeline has been a roaming operator number one for a long time, and we are proud to prove this image in our country.”

Today Unitel subscribers enjoy international voice roaming in 380 networks of operators from 159 states, GPRS roaming by 182 operators from 95 states. Beeline also leads in 3G roaming (123 operators in 80 states) and CAMEL-roaming (110 operators in 69 states).

To be noted, CAMEL roaming is a unique service when Unitel subscribers can use Beeline connection at any positive balance, i.e. without paying $50 guarantee fee, until the balance is equal to $0.

At that, fee is charged in real time mode. CAMEL roaming doesn’t need any activation, the service is automatic. The service is available for all subscribers individuals using prepaid tariff plans, at any positive balance.

Bharti Airtel Ltd. will begin operating a money-transfer service in Madagascar today to beat demand for financial services among the unbanked.

According to Heiko Schlittke, Director of Airtel’s Malagasy unit, the service will compete with Orange SA’s Orange Money and the M-Vola product offered by Telma, the state-run phone company.

He added that the company is targeting 3.2 million mobile-phone customers on the Indian Ocean island nation by the end of 2011, compared with 2 million now. Airtel plans to invest $50 million in the country over the next 18 months.

As per Schlittke, he expects 90% of the company’s customers to be using Airtel Money in one way or another by July 2011.