Recent analysis from Frost and sullivan reveals that mozambique currently has around 4.5 million mobile subscribers. By 2015, this could reach 30.7 million at a compound annual growth rate (CagR) of 30 percent. this number includes both active and inactive subscribers and will be boosted significantly by the growing number of tourists visiting the country and purchasing sIm cards just for the
duration of their stay. the churn rate (the number of users that become inactive) is therefore also expected to be high. In 2012, vodacom mozambiqueâ€™s churn rate was 77 per cent. Frost and sullivan found that the mobile communications market in mozambique was worth $300m in 2008 and will multiply six-fold by 2015 to reach $1.8bn. these high revenues will be partly due to the high cost of services, especially data. mobile phone penetration, which averages at about 70 percent of the population elsewhere in africa, is closer to 34 percent in mozambique. a mere 4.9 percent of mozambicans have access to internet, compared with 43 percent in neighbouring south africa. since vodacomâ€™s entrance into mozambique in 2003, mobile phone penetration has grown more than 1,500 percent. Yet the introduction of the third mobile operator, movitel, in 2012 has yet to change the underlying challenges of the sector: inefficient cost structures and insufficient infrastructure. In recent years, growth has slowed to 6.5 percent growth in 2011 and less than 1 percent growth in 2012, according to the world Bank.
F O R F U R T H E R I N F O R M AT I O N O N M O Z A M B I Q U E, V I S I T: W W W. A F D B . o R g & W W W. U n c T A D . o R g
souRCe: www.afdb.org & www.unctad.org
technological change has transformed the telecoms industry over the last decade in mozambique. the exchange of information in digital form is breaking down barriers that have traditionally existed between the telecommunication industry and other related industries. the development of the public telecommunication network in mozambique is driven by complex relationships between external environmental forces and developing technologies. two major contributions to the success of telecommunications of mozambique (tDm) are its establishing of relationships with the international community and its concentration on the use of technology to enhance its core business.
Essential reading for those who want to keep up to date with African business.