African Business Review - November 2017

Page 20

TECHNOLOGY international calls were generating significant revenue, with African exchange rates meaning this was even more lucrative for local operators. Data is bought locally through individual data packages, removing the opportunity for MNOs to cash in on international calls. In 2020, a predicted 57% of Africans

Above The demand for data- driven ser vices is leading to increased investments

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November 2017

will be online via their smartphone. The demand for data-hungry services has driven investment in capacity solutions, which must continue in the coming years to support this trend. National backbones, crosscountries terrestrial fibre and subsea cables are vital to connect cities across Africa, however, its varied geography throws up challenges. Some landlocked countries that do not have access to subsea cables and landing stations continue to rely on satellite connectivity only. In other regions, satellite solutions are required to act as insurance and ensure service continuity for end-users. Network outages are common in Africa, the result of damage to cable or terrestrial fibre, electricity outages and even landing stations being set on fire. The cost of satellite poses an additional problem for many telecoms operators in the region, which cannot afford to have such links that are not fully


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