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Frost & Sullivan Finds Affordable Handsets and Mobile Broadband Tariffs Enhance Uptake in West African Region - Over the past years, the West African broadband market has witnessed a dramatic increase in broadband connections mainly due to the deployments of advanced technologies and affordable customer premise equipment as well as tariffs
Frost & Sullivan Finds Affordable Handsets and Mobile Broadband Tariffs Enhance Uptake in West African Region

 

NewswireToday - /newswire/ - Cape Town, South Africa, 2011/02/16 - Over the past years, the West African broadband market has witnessed a dramatic increase in broadband connections mainly due to the deployments of advanced technologies and affordable customer premise equipment as well as tariffs.

   
 
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New analysis from Frost & Sullivan (ipcommunications.frost.com) West African Broadband Market Tracker, covering Nigeria, Cameroon and Ivory Coast, finds that the market earned revenues of $929.9 million in 2009 and estimates this to reach $1.932 billion in 2016.

"Internet service providers (ISPs) still remain the dominant players in the region, except for Nigeria where mobile broadband connections have outpaced fixed broadband connections, " notes Frost & Sullivan ICT Research Analyst Mervin Miemoukanda. "In comparison to other countries, high investments are made in infrastructure development and broadband services present the highest areas for growth opportunities due to the decline in voice revenues."

The West African region is characterised by poor telecoms infrastructure. Mobile broadband connections have outpaced fixed broadband connections in many countries in the region. This trend is likely to be observed in key markets like Cameroon and Ivory Coast in the next 5 years.

"The low fixed penetration shows the majority of population can only access broadband services via their handsets, " explains Miemoukanda. "The low levels of broadband penetration in the region indicate that there is room for growth opportunities across the region."

The key challenge faced by market participants is the high cost of customer premise equipment. Limited availability of bandwidth, paralleled by high costs and the low disposable income of the majority of the population across the region, also pose challenges.

"A number of factors currently hamper the growth of this region including low disposable income, " adds Miemoukanda. "Poor telecoms infrastructure and shortage of bandwidth in most countries in the region also threaten to dampen market prospects."

Facing challenges and restraints in the broadband market, ISPs and mobile operators are expected to improve the quality of services through continuous infrastructure investment like network capacity upgrade and deployments of new technologies.

"Developing innovative solutions such as cyber cafés that target the mass market and partnering with content providers to offer localised content are some approaches that ISPs and mobile operators can deploy, " concludes Miemoukanda. "These strategies will help drive up the demand for broadband services."

For more information on this study, please send your complete contact details to Christie Cronje, Corporate Communications, at christie.cronje[.]frost.com.

West African Broadband Market Tracker is part of the Communications Services Growth Partnership Services programme, which also includes research in the following markets: Southern African Broadband Market Tracker, East African Broadband Market Tracker and Angola Broadband Market Tracker. All research included in subscriptions provide detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants.

About Frost & Sullivan

Frost & Sullivan, the Growth Partnership Company, enables clients to accelerate growth and achieve best-in-class positions in growth, innovation and leadership. The company's Growth Partnership Service provides the CEO and the CEO's Growth Team with disciplined research and best-practice models to drive the generation, evaluation, and implementation of powerful growth strategies. Frost & Sullivan leverages 50 years of experience in partnering with Global 1000 companies, emerging businesses and the investment community from more than 40 offices on six continents.

West African Broadband Market Tracker / M607

twitter.com/ICTFrostAfrica

 
 
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Frost & Sullivan Finds Affordable Handsets and Mobile Broadband Tariffs Enhance Uptake in West African Region

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Frost & Sullivan |
Publisher Contact: Christie Cronje 
+27 21 680 3566 christie.cronje[.]frost.com
 
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