Uganda: ICT Still a Dream in Rural Areas
AllAfrica writes…Lovine Ntege, a resident of Buwama village in Mpigi district, used to transact business on her mobile phone. She would crush shells and sell them to firms that make poultry feeds.
However, due to the high cost of airtime, she stopped transacting business on phone. Ntege says communicating with her customers via the Internet is a dream because she does not know how to use it. Worse still, the nearest Internet centre is in Mpigi town, seven kilometres from her village.
”My people are disappointed because the price of everything is going up, they cannot access information communication technology (ICT) because it is not accessible in rural areas,” she laments.
According to a research by the Global System for Mobile Communication Association, Uganda is second to Turkey in having the highest costs of telecommunication services. “Uganda is second, followed by Brazil, Syria, Zambia, Tanzania, Argentina, Ecuador, Kenya and Ukraine,” says Dr. Johnson Nkuuhe, the UNDP coordinator for the Millennium Development Goal. According to the report: “Uganda raised mobile phone airtime duty from 10% to 12% and value added tax from 17% to 18%, while in June last year, the Government introduced a five percent duty on landlines.
“The Government needs to review the telecom policy with an objective of reducing the costs to enable people in rural areas to use ICT for income generation. But if the taxes are high, the digital divide between rural and urban areas would widen.” Despite the need to review the policy, which aims at reducing costs, growth in investment in the telecom sector has boosted employment.
Currently, the telecom industry employs about 290,000 people.
The ICT minister, Dr. Ham Mulira, says the number of fixed and mobile customers by March last year was 107,992 and 1,937,109, respectively. “The total private investment in the sector since January 2004 to-date, is estimated to be $180m compared to $15m generated between 1999 and 2000 and a total sector turnover of $810m has been registered since 2004 to date,” he adds.
Mulira said there is network coverage of telecommunication services in 745 of the 926 sub-counties in the country, amounting to 80% of geographical coverage.
According to the researchers, there are three mobile cellular operators, 145 private radio stations of which 122 are operational, 22 courier service-providers and 10,925 pay phones. Over 10,000 public pay phones are operational.
The research also revealed that there are 25 private television stations of which 14 are operational. Several projects that have been implemented include Internet centres in 52 districts, 54 training centres, 50 Internet cafes, establishment of information portals for all districts and a national portal, www.ugandaweb.net.
However, despite the developments, MTN’s marketing manager Eric van Veen says: “Government needs to revise the telecom policy because presently, costs have risen by 40% as generators run longer hours and add to the costs of maintenance.”
The policy has also been criticised in a research project on ICT infrastructure in 14 African countries on the theme “Towards an African e-Index”. The research reveals that Uganda’s policy implementation has been dogged by tension and conflicts among the concerned parties, leading to a document that has had no significant impact and will be out of date before it is implemented.
“When implemented, the policy would lead to full liberalisation of the sector and greater public investment in infrastructure development through public private partnerships,” the research revealed.
Celtel honour for MTC-VB official
MTC-Vodafone (Bahrain) chief operating officer Mahmoud Hashish has been named to Celtel Kenya board of directors, replacing Mandla Ndlovu.
Mahmoud has also been appointed the Vice President for Celtel International in-charge of Kenya, Uganda, Tanzania and Madagascar.
Mahmoud, who has over 25 years experience in sales and marketing management, joins the board at a time when the company is busy rolling out new products and services.
Prior to assuming his position with MTC Group, where he supported the far-reaching strategic development programs being brought to life by the MTC Board in Kuwait, Mahmoud had led several regional projects in the Banking and Telecommunications Industries throughout Australia, New Zealand, Malaysia and Singapore.
In April 1992, Mahmoud moved to Kuwait where he played the role of Senior Account Manager at International Turnkey Systems (ITS).
He was responsible for developing the company’s business in the Telecommunications industry.
Mahmoud helped in the growth of ITS from a regional annual revenue of $6.3 million in 1991 to US$12 million in 1995.
Mahmoud holds a Masters degree in Computing from the Monash University, Australia and is married with one son.
MTC is the pioneer of mobile telecommunications in the Middle East and now a major player on the African continent.
They began life in 1983 in Kuwait as the region’s first mobile operator, and since the initiation of our 3x3x3??? expansion strategy in 2002, we have expanded rapidly.
As a leading mobile and data services operator in 6 Middle Eastern and 14 sub-Saharan African countries with 10,000 employees, they provide a comprehensive range of mobile voice and data services to over 25 million individual and business customers.
They operate in Kuwait and Bahrain as MTC-Vodafone, in Jordan as Fastlink, in Iraq as mtc atheer, in Lebanon as mtc touch, in Sudan as Mobitel and in 14 sub-Saharan countries in Africa as Celtel: Burkina Faso, Chad, Democratic Republic of the Congo, and Republic of the Congo, Gabon, Kenya, Malawi, Madagascar, Niger, Sierra Leone, Tanzania, Uganda, Zambia and Nigeria.
Source- tradearabia Wireless Mobile Telecom
Africa Has the Fastest Growing Mobile Market in the World; Subscribers are Expected to Increase at a CAGR of 22.5 Percent During 2005-2011
The “African Mobile Handset Market Analysis (2006-2009)”, report provides extensive research and objective analysis on the growing marketplace for the global mobile handset industry, their technologies, and impact on the market. This report helps clients to analyze the leading-edge opportunities critical to the success of the growing mobile handset market throughout the world. Detailed data and analysis helps handset manufacturers, service providers, and investors navigate the evolving market of mobile handsets.
Key Technologies Analyzed
Key Handset technologies including the most recent one as GSM, CDMA, WiFi VoIP, TDMA, 3G, 4G and Blue Tooth are also analyzed supported by the facts like revenues and the market share.
Key Players Analyzed
This section provides the overview, key facts and numbers and key competitors of several players like Alcatel, Ericsson, Fujitsu Microelectronics, Intel Corporation, Nokia, LG, Sony Ericssion, Motorola, Siemens, Samsung, Sun Microsystems, NTT Docomo, RF Micro Devices, Zarlink Semiconductor Infineon Technologies, Panasonic, Mitsubishi Electric, Sprint, Nextel, AT & T Wireless, Mobinil (SAE), Safaricom, Millicom International Cellular, Telkom SA Limited, MTN zambia, CelTel zambia and Zambia Telecommunications Company Ltd.
Growing Markets Covered
This section covers the Economic Background and number of operators in each segment of the Worldwide Mobile Device and Handset market. It includes countries like Algeria, Egypt, Morocco, Kenya, Nigeria, South Africa and Zambia.
Key Findings
Africa has the fastest growing mobile market in the world. The continent’s subscriber base grew by 66% in 2005 to 135 million users, compared with growth of just 11% in Western Europe during the same period. Total mobile subscribers in the region are expected to increase at a CAGR of approximately 22.5 percent during 2005-2011, resulting in a mobile subscriber base of over 378 million by the end of 2011. The corresponding mobile penetration rate for the region is forecast to increase from 14 percent at the end of 2005 to almost 42 percent by the end of 2011.
1. Economic Background of Mobile Handset Industry Worldwide
1.1 Worldwide Forecast for Mobile handset Sales 2006-2009
1.2 Mobile Market Analysis, by Technology 2005
1.2.1 GSM Family
1.2.2 UMTS (Universal Mobile Telecommunications System)
1.2.3 CDMA
1.2.4 3G Mobile Phones
1.2.5 4G Mobile Phones
1.2.6 Bluetooth in Mobile Handset
2. Introduction To Mobile Industry In Africa 2005
3. Market Segmentation By Region 2005
3.1 Algeria
3.2 Egypt
3.3 Kenya
3.4 Morocco
3.5 Nigeria
3.6 South Africa
3.7 Zambia
3.8 Tunisia
4. Key Driving Forces of Mobile Industry
5. Opportunities & Challenges for Mobile Industry
6. Recent Trends and Developments 2005-2006
7. Key Players in Mobile Handset Industry
7.1 Handset Manufacturers
7.1.1 Nokia OYJ
7.1.2 LG Electronics Mobilecomm U.S.A., Inc.
7.1.3 Sony Ericsson Mobile Communications AB
7.1.4 Motorola, Inc
7.1.5 Siemens AG
7.1.6 Samsung Electronics Co., Ltd.
7.1.7 BenQ Corporation
7.1.8 Alcatel
7.1.9 Ericsson Inc.
7.1.10 Panasonic Mobile Communications Co., Ltd.
7.2 Mobile Phone Service Providers
7.2.1 Mobinil (SAE)
7.2.2 Orascom Telecom Holding (S.A.E.).
7.2.3 Safaricom
7.2.4 Millicom International Cellular
7.2.5 Telkom SA Limited
7.2.6 MTN Zambia,
7.2.7 CelTel Zambia
7.2.8 Zambia Telecommunications Company Ltd
7.2.9 AT&T wireless
7.2.10 Nextel Partners, Inc
7.2.11 Sprint PCS
7.2.12 NTT DoCoMo, Inc.
7.3 Mobile Device Manufacturers
7.3.1 Fujitsu Microelectronics
7.3.2 Intel Corporation
7.3.3 Sun Microsystems
7.3.4 RF Micro Devices, Inc.
7.3.5 Zarlink Semiconductor Inc.
7.3.6 Infineon Technologies AG
7.3.7 Mitsubishi Electric
Source- biz.yahoo Wireless Mobile Telecom
Kenya Tailing in Celtel Bloc Growth
Celtel Kenya is tailing Uganda and Tanzania in percentage subscriber growth, a company report has shown.
The report that Business Week has seen, reveals that while Kenya still continues to perform exceptionally well, its subscriber base grew by a mere 19% compared to Uganda’s 64% and Tanzania’s 83%.
While subscriber numbers in Tanzania and Uganda grew from 738, 000 to 1.349 million and from 233,000 to 381,000 respectively, Kenya’s grew from 1.461 million to 1.743 million.
Announcing the 2006 third quarter earnings for the nine months ending September 30, Celtel’s parent company, MTC of Kuwait said the company recorded positive subscriber growth in all 15 African countries in which it operates.
In the report, MTC recorded consolidated revenues of US$ 2.92 billion, an increase of 115% over the same period in 2005 and posted a net income of $767.46 million, an increase of 64% compared to the same period last year.
The report released last month in Kuwait shows that while the group boasts of a growing customer base of 24.9 million customers in both Africa and the Middle East, total Celtel subscriber growth alone stood at 15.270 million up from 5.375 million (184%).
Celtel Zambia topped all the other countries after recording a 116% growth in subscriber numbers while Sierra Leone tailed at 48% growth.
Burkina Faso recorded an 86% growth, Chad (70%), Congo Brazzaville (87%), DR Congo (80%), Gabon (66%), Malawi (107%) and Niger (107%).
Statistics for Nigeria and Madagascar subscriber growth were unavailable because the two operations were only acquired in May 2006 and December 2005 respectively.
However, their customer base stands at over 5.993 million and 302,000 respectively.
There are over 2.462 million subscribers in Sudan where the pan African mobile firm operates as Mobitel.
With 12,000 employees in both Africa and the Middle East, MTC has mobile voice and data services operations in Iraq, Jordan, Kuwait, Bahrain and Lebanon.
Industry experts tie the good group performance figures to organic growth, new license awards and acquisitions over the past three and a half years since the company embarked on its profitable expansion strategy.
“The company’s remarkable customer growth is primarily driven by its African operations; and its enviable financial performance is driven by its more mature Middle Eastern operations,” a company statement said.
Mr. Asaad Ahmed Al-Banwan, chairman of MTC said, “We are continuously on the look out for new profitable opportunities.
The kingdom of Saudi Arabia has launched a process that will lead to a 3rd license award and we will participate. We are also evaluating a couple of smaller opportunities in Africa.”
Celtel is still basking in its world record borderless network for East Africa launched in September 2006 that allows customers to travel across the three borders without roaming call surcharges and paying to receive incoming calls.
Source- allafrica Wireless Mobile Telecom
Celtel introduces One-4-All payphone
Celtel Malawi Limited on Friday introduced the ‘One-4-All’ payphone service which is touted as the first sim-based mobile public payphone in the country.
Celtel Malawi director of marketing Charles Maye said during the launch in Blantyre the ‘One-4-All’ payphone is powered by the Motorola C113 handset which will cost operators K8,000 [about US $ 57].
He said the payphone service is one of the many business solutions Celtel has to offer to Malawians at this time when signs point to a rebound in economic activity.
One-4-All is a flexible business tool because it gives the operator the discretion to choose where and when to do business. At the same time, customers would now have the convenience of getting instant access to telecommunication services wherever they are,??? said Maye.
Its introduction on the local market builds on the success that the business concept has registered in Uganda, Zambia and Kenya where Celtel also has operations, according to Maye.
The ‘One-4-All’ payphone will complement the existing payphones which use a desktop handset, according to Bigboy Makoloma, Celtel’s payphone Sales manager.
Makoloma said the ‘One-4-All’ payphone has a metering system to monitor usage and its tariff is K25 per 30 seconds.
He said operators stand to make K1,250 profit for an hour’s talk.
Doreen Milanzi, a payphone operator from Sharpe Vale in Ntcheu, said the payphone system has simplified communication in her remote area where previously people had difficulties to link up with the outside world.
Milanzi, who was one of the 10 operators to receive complementary ‘One-4-All’ payphones from Celtel, said she ventured into the business in October last year.
The payphones concept has enabled millions of Malawians who cannot afford to own mobile phones. Maye said studies show that only one percent of the Malawi population has access to fixed lines while only five percent can afford cell phones.
MTN nears 35 mln subscribers after Investcom takeover
South Africa-based operator MTN Group has reported 34.768 million subscribers at the end of September, up 37 percent from June following its takeover of rival Investcom. Excluding Investcom, MTN increased its subscriber base 8 percent over the quarter to 27.384 million, while Investcom alone posted 20 percent growth to 7.384 million customers. Growth was driven by MTN’s South Africa operations, which increased customer numbers 7 percent to 11.16 million. In West and Central Africa, Nigeria and to a lesser extent Ghana contributed to the increase. Nigeria posted a 8 percent increase to 10.375 million, and Ghana increased its base 21 percent to 2.436 million. The Middle East and North East Africa region recorded subscriber growth of 17 percent for the quarter, mainly due to continued strong growth in Syria (20% to 2.1 million) and Uganda (14% to 1.4 million). The recent start-up in Afghanistan exceeded expectations and achieved net additions of 99,000 in the quarter. MTN expects the merger with Investcom to lead in 2007 to operatinal savings of USD 80-100 million and reductions in capital expenditure of at least USD 100 million. Limited savings have already been acheived this year.Among other markets, subscribers in Cameroon were up 9 percent to 1.66 million, Uganda rose 14 percent to 1.4 million, Cote d’Ivoire increased 13 percent to 1.26 million, Yemen was up 1 percent to 1.03 million, Sudan increased 30 percent to 771,000, the Mascom unit in Botswana rose 5 percent to 557,000, Benin was up 20 percent to 415,000, Rwanda rose 10 percent to 341,000, Swaziland was up 8 percent to 255,000, Congo- Brazaville gained 9 percent to 250,000, Guinea Conakry grew 75 percent to 201,000, Liberia was up 21 percent to 186,000, Zambia increased 5 percent to 125,000, Guinea Bissau rose 4 percent to 79,000 and the only European country, Levantine Cyprus, was down 10 percent to 70,000. In addition to providing subscriber figures, MTN gives ARPU figres for each subsidiary. South African ARPU rose to ZAR 162 in the third quarter from ZAR 159 in the second. Elsewhere, third quarter ARPU ranges from USD 11 in Yemen to USD 32 in Cyprus, with the next highest being Syria at USD 25. In Nigeria, ARPU was USD 18. The ARPU figure is an average for the time since the July acquisition of Investcom.
Source- telecompaper Wireless Mobile Telecom
Zimbabwe, Botswana sign Eassy undersea cable protocol
Zimbabwe and Botsawana have signed the East African Submarine System (Eassy), taking the total number of signatories to nine our of 23 countries that originally agreed to implement the project in 2003. ITWeb reports that Mozambique, Namibia, Somalia, Zambia and Malawi, all of which were expected to sign up, did not do so. The current signatories include South Africa, Tanzania, Uganda, Rwanda, Lesotho, Madagascar and Malawi, which signed the protocol in late August. There is a deadline of 30 November to sign the protocol.
Source- http://www.telecompaper.com
Celtel to introduce one network in Ghana
Celtel International, a telecommunications group based in the Netherlands, has declared its intention to invest in Ghana, as well the as likelihood of introducing its mobile phone system that networks countries and eliminates roaming charges.
It is currently undertaking investment studies in the country, which will become the sixth West African country it will be operating in and the sixteenth in Africa.
Once operational in the country, the company will study the network system in other West African countries and decide on when to introduce its unique “One Network” service.
The service, which is currently in use in East Africa (Tanzanian, Uganda and Kenya) makes it possible for a user of a Celtel mobile phone to use the same number in another networked country without paying for roaming surcharges.
The “One Network” is automatically activated once a customer crosses over into the geographic border of any other networked countries without prior registration or new cellular phone chip. The customer can also place calls to any of the networked countries without any restriction.
Dave Hagedorn, Business Development Manager of Celtel, and Khaled Al-Anjiri, Mergers and Acquisitions Specialist from Mobile Telecommunications Company (MTC), the parent company of Celtel, headquartered in Kuwait, are in the country this week to hold talks with investment partners.
Without mentioning the amount to be invested, Mr. Hagedorn told the Times “we are looking at the opportunities and we will be investing substantially.
“We are hopeful that we will start operations in the coming month that Ghana will be the next country for the group,” Mr. Hagedorn added.
He indicated the expansion of their operations to Ghana was in line with their vision to cover the entire continent. Celtel is also operating in Burkina Faso, Chad, DR Congo, Gabon, Madagascar, Malawi, Niger, Nigeria, Congo, Sierra Leone, Zambia and Sudan.
The company intends covering the entire Africa with the “One Network” service by implementing it on a regional basis, he said.
Mr. Al-Anjiri, for his part, said the MTC was committed to investing in infrastructure to offer improved services for customers and also taking advantage of opportunities that could be used to remove barriers between populations and make life better.
Source- http://www.andnetwork.com
Motorola leverages emerging markets
Motorola is making a major push for emerging markets, as it aims to benefit from the fast mobile telecoms subscriber growth rate. MotorolaSpeaking at the recent Moto4Africa conference, held in Zambia, regional sales director for sub-Saharan Africa Stefano Mattielo, said high growth exists in low average revenue per user (ARPU) or second tier mar…
Technorati : ARPU, Africa, Fast, Mobile, Wireless, Zambia
Ice Rocket : ARPU, Africa, Fast, Mobile, Wireless, Zambia
