Telecom (100)
Data centers are becoming the backbone of cloud services adoption. They provide users with everything they need to get started – online storage, computing power, software, servers, and applications – all accessible over the internet.
From 2012 to 2022, the number of data centers in West and East Africa saw a significant increase, jumping from 9 to 134. This information was highlighted in the "Digital Progress and Trends Report 2023" published by the World Bank in March 2024.
The report explains: “Development funding for data centers is increasing to fill the financing gaps. In Africa, where an estimated annual investment of between US$4 billion and US$7 billion is needed to bridge the region’s data center gap, the US International Development Finance Corporation is providing funding of US$300 million to Africa Data Centers to support the expansion and development of seven existing and greenfield data centers in five African countries.”
The ongoing technological revolution in Africa, accelerated by the digital transformation spurred by the COVID-19 pandemic, has made digital infrastructures, especially data centers, essential. An increasing number of globally recognized providers have established a presence on the continent, leading to a rise in the number of these infrastructures in Africa.
Several American companies, including Raxio Data Centres, Digital Realty, and Oracle, along with France's Orange and China's Huawei, have set up operations in various African countries. Local entities like Africa Data Centres, Paix Data Centres, Onix Data Centres, and MainOne continue to expand across the continent. In addition to private sector involvement, African governments are also investing in these infrastructures in their pursuit of digital sovereignty.
The "Cloud Computing Market" report published in December 2023 by U.S.-based market research firm MarketsandMarkets projected that the global cloud market would grow from $626.4 billion in 2023 to $1,266.4 billion by 2028, with a compounded annual growth rate of 15.1%. While this growth is promising, Africa and the Middle East hold marginal shares compared to North America, the undisputed leader in the sector, according to the same source.
Adoni Conrad Quenum
Undersea cable disruptions are a recurring issue in Africa, resulting in considerable financial setbacks for numerous stakeholders in the continent's telecommunications industry. Significant improvements could be realized through investment in this sector.
Guinea and Gambia are set to be linked by a second subsea optical fiber cable in the near future. The Minister of Posts, Telecommunications, and Digital Economy for Guinea, Rose Pola Pricemou, and her Gambian counterpart, Minister of Communications and Digital Economy Ousmane Bah, signed a memorandum of understanding to this effect on Wednesday, April 24, in Banjul.
The memorandum aims to combine efforts and resources to carry out a feasibility study for the creation of a new submarine cable. The World Bank will fund the future infrastructure as part of the West African Digital Integration Project (WARDIP).
Under this agreement, both countries stand to benefit from reduced project-related costs. For example, Guinea could see its expenses cut by more than 40%. This initiative underscores the two nations’ commitment to bolstering their cooperation for a more accessible and prosperous digital future.
Gambia and Guinea are currently connected to the ACE (Africa Coast to Europe) cable, which they primarily depend on for high-speed internet services. Frequent disruptions on this infrastructure lead to service interruptions, making it imperative for the two nations to connect to a second submarine cable capable of providing backup.
The rollout of the second subsea cable is expected to not only enhance the quality of high-speed telecommunications services but also to broaden the reach of these services to thousands more individuals and lower costs. The project is also poised to accelerate the implementation of the two countries’ digital transformation goals.
Samira Njoya
In 2024, a series of internet disruptions across Africa were linked to cuts of undersea fiber optic cables. As a countermeasure, Seacom, a Pan-African submarine cable provider, has launched internet services through low earth orbit (LEO) satellites in South Africa.
Seacom, a Pan-African submarine cable provider, recently unveiled its satellite internet services in South Africa. These services leverage low Earth orbit (LEO) satellites, as announced in a press release on Monday, April 15.
For the launch, Seacom joined forces with Eutelsat Oneweb, a renowned British satellite internet provider. The partnership is designed to deliver superior internet connectivity, especially to businesses, in response to the growing need for high-speed connectivity throughout Africa.
The launch of Seacom’s satellite internet service is timely, given the recurrent disruptions in undersea cables that have been affecting connectivity in several parts of the continent. In February of last year, Seacom faced disruptions in its cable network in the Red Sea, which hindered internet connectivity between Africa and Europe, impacting countries like Egypt and Kenya. In March, technical glitches on the West African coast affected the WACS, MainOne, ACE, and SAT3 cables, leaving people in roughly ten countries without internet access.
In light of these incidents, satellite internet has emerged as a favored solution. Seacom has chosen to adopt LEO technology, which involves satellites orbiting the Earth at distances of approximately 2,000 kilometers or less. This technology promises lower latency for quicker communications and improved coverage for remote areas.
Alpheus Mangale, President and CEO of the Seacom Group, stated, “The end goal is to make the LEO service an essential value offering for organizations of all shapes and sizes. Connectivity is on track to become a wholesale service made up of different technologies that work together to meet clients’ needs and deliver the uptime and performance that’s expected from market leaders.”
Adoni Conrad Quenum
Russia has emerged as a significant technological ally in Africa, assisting numerous countries in satellite design. Mali, harboring similar ambitions, has also sought Russia's expertise.
Mali and Russia are collaborating on several imminent projects, including the launch of a telecommunications satellite and the use of Russian spacecraft for monitoring Malian territory, according to a recent announcement. A Malian delegation, led by Finance Minister Alousséni Sanou, visited Moscow to discuss the action plan for these initiatives.
“We need four years to build and then launch the satellite. To achieve this, Mali needs to equip itself with specialists in all fields. We have agreed on a training program for ten students a year for four years in specialized fields relating to satellites… There is also a question of sending a series of specialists to deepen knowledge and acquire expertise in aerospace activities,” Sanou stated.
These initiatives are part of a memorandum of understanding signed last year between the Malian government and Glavkosmos, a subsidiary of the Russian Space Agency (Roscosmos). In addition to aiding Mali in the production of its satellite, the agreement stipulates that a Russian satellite will be made available to the country to meet needs in security, telecommunications, and other sectors that promote national development.
Bamako will also utilize satellite images to gain a precise understanding of the human impact on the environment. These images will assist leaders in better tracking and neutralizing terrorists. This initiative follows the recent liberation of the Kidal region, which had been plagued by terrorism for approximately a decade.
Samira Njoya
African development strategies prioritize lifting women out of financial insecurity. Various stakeholders across the continent are contributing initiatives to address the issue.
Fondation Orange Côte d’Ivoire (FOCI) and Orange Bank Africa (OBA) have advanced their commitment to empowering women entrepreneurs by establishing the Women’s Digital Home Fund for Women’s Empowerment (Fomdaf). Announced at a signing ceremony on March 21, 2024, the initiative aims to provide financial backing to vulnerable women entrepreneurs, enabling them to fully realize their business potential.
The guarantee fund, valued at XOF100 million ($165,700), is provided by Fondation Orange Côte d’Ivoire and managed by Orange Bank Africa. It is designed to enhance financial access for women beneficiaries of the Digital Homes project. With this guarantee, eligible women entrepreneurs can access loans totaling up to XOF500 million. Each woman can borrow between XOF1 and 20 million, with flexible repayment terms over a period of 6 to 24 months, at a competitive annual interest rate of 8.5%.
“Today, 32% of Orange Bank customers are women […] We are now moving on to another stage with this fund, which will support women as they grow,” stated Alexandre Oro, Secretary General of Orange Bank.
The signing ceremony also featured the presentation of the Coups de Coeur Ô Féminin Awards, an initiative launched in 2017 by the Fondation Orange Côte d’Ivoire to support women trained at the Maisons Digitales in their entrepreneurial endeavors. These awards, divided into three categories, offer prize pools of up to 10,000 euros (around XOF6,500,000) for the winners, bolstering their financial access and their ability to transform innovative ideas into reality.
To date, only 48 projects have been financed out of 6,871 women trained. This figure underscores the distance yet to be covered to fully achieve the goal of economic empowerment for women in Côte d’Ivoire.
Moutiou Adjibi Nourou
Broadband is central to Zimbabwe's development agenda, which is centered around digital transformation. In collaboration with the private sector, the government aims to bolster the national telecommunications infrastructure to ensure affordable Internet access for all citizens.
The Zimbabwean government announced on Thursday, March 7, the commencement of the second phase of the fiber optic rail project. The project, executed by wholesale telecoms infrastructure provider Bandwidth & Cloud Services Group (BCS), aims to enhance connectivity within Zimbabwe’s cities by deploying fiber along national railroads.
This phase will extend fiber optics over 800 km, connecting the village of Somabhula to the capital Harare via the town of Gweru. It will also span the Bulawayo - Plumtree and Harare - Mutare routes. The first phase of the project, initiated in 2022, has already laid 1,180 km of fiber from the border town of Beitbridge in Matabeleland province to the city of Victoria Falls, in the north of the country. The network infrastructure costs $18 million, and the second phase is projected to incur a similar expense.
The project aligns with the government’s strategic goal of transforming Zimbabwe into a self-sufficient and prosperous upper-middle-income society by 2030, leveraging digital technology. It also corresponds with the national broadband program for 2023-2030, which encompasses several state and privately financed infrastructure deployment projects. This program is expected to accelerate broadband penetration in the country and reduce costs.
Ultimately, the fiber optic system will cover the country's entire rail network, from Rutenga to Chikwalakwala, before extending into Zambia and other regions. According to the Honourable Owen Ncube, Minister of State for Provincial Affairs and Decentralization, this project ensures that Zimbabwe will be connected to the rest of the world, marking a positive stride in the “Leave no one behind (LNOB)” principle enshrined in the 2030 Agenda for Sustainable Development and its Sustainable Development Goals (SDGs).
Samira Njoya
Broadband is central to Zimbabwe's development agenda, which is centered around digital transformation. In collaboration with the private sector, the government aims to bolster the national telecommunications infrastructure to ensure affordable Internet access for all citizens.
The Zimbabwean government announced on Thursday, March 7, the commencement of the second phase of the fiber optic rail project. The project, executed by wholesale telecoms infrastructure provider Bandwidth & Cloud Services Group (BCS), aims to enhance connectivity within Zimbabwe’s cities by deploying fiber along national railroads.
This phase will extend fiber optics over 800 km, connecting the village of Somabhula to the capital Harare via the town of Gweru. It will also span the Bulawayo - Plumtree and Harare - Mutare routes. The first phase of the project, initiated in 2022, has already laid 1,180 km of fiber from the border town of Beitbridge in Matabeleland province to the city of Victoria Falls, in the north of the country. The network infrastructure costs $18 million, and the second phase is projected to incur a similar expense.
The project aligns with the government’s strategic goal of transforming Zimbabwe into a self-sufficient and prosperous upper-middle-income society by 2030, leveraging digital technology. It also corresponds with the national broadband program for 2023-2030, which encompasses several state and privately financed infrastructure deployment projects. This program is expected to accelerate broadband penetration in the country and reduce costs.
Ultimately, the fiber optic system will cover the country's entire rail network, from Rutenga to Chikwalakwala, before extending into Zambia and other regions. According to the Honourable Owen Ncube, Minister of State for Provincial Affairs and Decentralization, this project ensures that Zimbabwe will be connected to the rest of the world, marking a positive stride in the “Leave no one behind (LNOB)” principle enshrined in the 2030 Agenda for Sustainable Development and its Sustainable Development Goals (SDGs).
Samira Njoya
Seven months ago, Sonatel acquired the super broadband license for almost $57 million. It aims to revolutionize usage in the local telecoms market and remain the leading operator.
The commercial fixed 5G connectivity offers of Sonatel, 42.33%-owned by Orange, are now available for residential and business customers in Senegal. The telecom company announced in a press release on Tuesday, March 5, that it would soon be expanding its services to include mobile internet offers for ultra-high-speed broadband.
With the advent of 5G, Sonatel promises its customers instantaneous download and streaming speeds, as well as enhanced responsiveness for real-time applications such as online gaming, virtual reality, telemedicine, e-education, among others. The company is inviting customers to explore the “boundless possibilities” of the technology at a dedicated laboratory at the Orange Digital Center in Dakar.
The launch of Sonatel’s commercial 5G comes seven months after the company secured Senegal’s first ultra-broadband license from the local telecom regulator, ARTP, for XOF34.5 billion ($57 million). The telecom firm has been preparing for the deployment of the technology since 2020, confirming its readiness through a successful test in December 2021 and launching its 5G laboratory in July 2022.
In the 5G market, Sonatel leads its main competitors, Expresso Sénégal and Saga Africa Holding Limited (Free), the latter of which obtained its operating license in December 2023 for XOF13.5 billion.
This advantage positions Sonatel to boost its revenues and solidify its leadership in the Senegalese telecom market. As per ARTP data, Orange had 12.5 million mobile telephony subscribers in the third quarter of 2023, accounting for a market share of 56.47%. Expresso and Free held 16.8% and 23.89% of the national mobile subscriber base, respectively. In the internet segment, Orange commanded a market share of 66.52%.
Isaac K. Kassouwi
The strategic partnership was inspired by Tencent's Weixin/WeChat ecosystem and its billion monthly active users.
Orange wants to double the adoption of its Max it super-app by 2025. To this end, the French group decided to sign a partnership with China's Tencent Cloud on Tuesday, February 27 at the Mobile World Congress in Barcelona, Spain.
Orange will leverage "Tencent Cloud's Mobility framework and the Tencent Cloud Mini Program Platform (TCMPP) solution to create an open platform for Max it, enabling the integration of a wide range of mini-apps within its super-app." The aim is to enrich the Max it ecosystem and enhance the customer and partner experience for businesses and people in Africa and the Middle East.
Commenting on the partnership, Jérôme Hénique, CEO of Orange Middle East and Africa, said: "This partnership with Tencent Cloud is a key step in our vision to offer innovative and high value-added services to our users. Enriching Max it with innovative mini-apps is key to strengthening its value proposition, increasing its penetration among Orange and non-Orange customers, and amplifying our social impact."
Max it, launched last November, is a super mobile application that aggregates all the services offered by Orange and its partners. The French company aims to position its super-app in this part of the world as a hub for all mobile services. Deployed in half a dozen countries at launch, it will expand to eight more destinations in the first quarter of this year, before covering all the countries where the group operates before the end of the year.
Adoni Conrad Quenum
African digital financial inclusion remains a challenge. In that context, the new partnership seeks to expand access to financial services.
US Fintech Visa and the GSMA Mobile for Development Foundation (GSMA Foundation) launched the Digital Finance for All (DFA) initiative on Monday during the Mobile World Congress in Barcelona, Spain. This initiative aims to boost digital financial inclusion among 20 million individuals across Africa, Asia, and Latin America by providing targeted educational resources and facilitating access to mobile money services.
The DFA program seeks to equip women, small-scale farmers, and entrepreneurs running nano-, micro-, or small-sized enterprises with essential financial knowledge via technological tools. By doing so, it hopes to enable these groups to leverage mobile money platforms effectively within their respective nations.
"At Visa, we believe that digital payments are critical to including everyone in the digital economy by helping provide access to economic livelihood. Together with the GSMA Foundation, we seek to empower those in underserved communities across the world and provide equal access to help build better financial futures for all," said Chiagozie Nwabuebo, Vice President of Global Growth and Social Impact at Visa.
Despite progress over the past decade, Africa's bank account penetration remains low globally. As a result, many African citizens have increasingly relied on mobile money as a viable alternative form of payment. With the expansion of fintech companies throughout the region, mobile money has become an integral aspect of daily life in Africa.
As per the GSMA's "State of the Industry Report on Mobile Money 2023," the number of active mobile money accounts in Africa rose by 17%, reaching approximately 763 million, while total transactions approached $832 billion - an increase of 22% from 2021. Although growth rates were lower in Latin America and Asia compared to Africa, these markets have also seen significant increases in mobile money usage.
As stated by Ashley Olson Onyango (photo, left), Head of Financial Inclusion and Agri-Tech at the GSMA, “Mobile money can play a transformative role in advancing financial inclusion and resilience for the nearly 2 billion people who remain unbanked globally. However, poor digital and financial literacy is a key barrier to accessing digital financial services, especially for certain population segments like women, farmers, and micro-merchants.”
Adoni Conrad Quenum
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Africa's digital landscape is undergoing a rapid transformation, fueled by a surge in mobile phone adoption. By 2022, the Sub-Saharan region was boasting 489 million unique mobile subscribers, translating to a 43% penetration rate.
Ghanaian President Nana Akufo-Addo urged African Union (AU) members to adopt a continent-wide mobile interoperability system, arguing it would boost trade and financial inclusion amid rapid digital transformation.
Speaking at the 37th Ordinary Session of the AU Assembly in Addis Ababa, Akufo-Addo said such a system would accelerate the implementation of the African Continental Free Trade Area (AfCFTA) by facilitating seamless cross-border transactions and potentially eliminating roaming charges.
If implemented, the initiative “can truly and meaningfully fast-track the inclusive realization of the AfCFTA,” he stated.
His push echoes sub-regional efforts toward similar goals. The Southern African Development Community (SADC) is pursuing a single network area (ONA) for a unified digital market, while the East African Community (EAC) and Economic Community of West African States (ECOWAS) are implementing comparable projects.
ECOWAS members Ghana and Côte d'Ivoire already abolished roaming charges within their borders in July 2023, following regulation C/REG.21/12/17. Benin, Togo, Mali, and Burkina Faso are also working towards compliance.
Once implemented, the interoperability of cell phone networks in Africa should facilitate communications between the continent's countries, notably by reducing costs. It is also expected to drive economic integration and empower marginalized communities within the growing digital landscape.
Isaac K. Kassouwi
Following successful landings in Dakar and Accra last November and December, the telecommunications infrastructure embarked on its onward journey across the West African sub-region.
The 2Africa fiber optic submarine cable has landed in Lagos, Nigeria, according to a press release issued on Thursday, February 8 by Bayobab (formerly MTN GlobalConnect), one of the partners investing in the telecoms infrastructure alongside Orange, Meta, and China Mobile International.
2Africa will be the seventh submarine fiber optic system to connect Nigeria, which already draws part of its high-speed connectivity from Google's Equiano cables, SAT3, MainOne, Glo1, Africa Coast to Europe (ACE), and West Africa Cable System (WACS). This new asset represents the private sector's contribution to the project to improve broadband access initiated by the government in 2020. The aim is to cover 90% of the national territory by 2025.
The digital economy is expanding worldwide, but access to broadband connectivity remains a challenge in Africa, where it has the potential to unlock numerous development opportunities. Networks are still largely concentrated in urban areas, hindering the reduction of the digital divide, at the heart of the battle for inclusion that many organizations such as the International Telecommunication Union have been waging for the past 30 years.
In Nigeria, the importance of broadband is well established. The impact the service has had on the country's startup ecosystem over the past ten years is reflected in the dynamism of its tech entrepreneurs, whose solutions meet real, practical local needs. Today, Nigeria is one of the startup ecosystems that attracts the most foreign investment in Africa.
Adoni Conrad Quenum
African nations are making strides in the space industry, with growing investments and collaborations. The initiatives aim to boost the continent’s capabilities and expertise.
Egyptian satellite operator Nilesat and Qatari firm Es'hailSat said on Wednesday they signed a memorandum of understanding to offer various services across the Middle East and North Africa (MENA) region.
Under the agreement, the companies aim to provide video streaming, connectivity, telecommunications, and digital technologies utilizing their combined satellite fleets.
"This partnership represents a significant development for the region's satellite industry," said Nilesat CEO Sameh Katta. "By combining expertise and resources, we are well-positioned to meet evolving customer needs and contribute to economic growth."
The deal comes amid increasing interest in space activities across Africa. A 2023 report by Space in Africa, a Nigerian consultancy, found African nations allocated $425 million to space programs in 2023, with Egypt leading the continent.
Last week, Egypt's space agency launched its experimental NExSat-1 satellite and plans further launches in 2024, aiming to become a regional leader in the space industry.
Adoni Conrad Quenum
In a bid to digitize the nation and boost employment, the South African government is planning a countrywide broadband deployment as part of its digital transformation strategy. The move aims to empower citizens to fully leverage digitized services.
South Africa has extended the deadline for shutting down its 2G and 3G networks by two years, prioritizing faster 4G and 5G technologies instead.
Previously set for June 2024 and March 2025 respectively, the complete deactivation of both networks will now occur on December 31, 2027. The shutdown process will begin on June 1, 2025, with mobile operators having discretion over which network to switch off first.
"This deadline is meant to allow mobile network operators some level of discretion and for them to decide which network to switch off first. Some operators have indicated that they will commence with the shutdown of 3G in June 2024 in support of the policy," said the Department of Communications and Digital Technologies.
This decision aligns with the government's draft policy on "next-generation radio frequency spectrum" licensing, launched in September 2022. The policy aims to reallocate existing radio frequencies from older technologies like 2G and 3G to more advanced 4G and 5G networks. This will free up the spectrum for faster mobile internet speeds and wider network coverage across the country.
The transition to newer technologies also seeks to attract investment in telecommunications infrastructure. This is expected to lead to significant improvements in network quality and reliability, benefiting both businesses and individuals.
Furthermore, the widespread adoption of 4G and 5G networks paves the way for innovation in mobile-based services and applications. This could lead to the development of new industries, businesses, and job opportunities, potentially impacting the South African economy positively.
Samira Njoya