Angola’s fourth Unified Global licensee expected to launch services within 18 months
The government has aimed to develop telecom infrastructure in a bid to diversify the country’s economy and lessen its dependence on offshore crude oil production, which accounts for almost all exports and up to 80% of tax revenue. By extending and upgrading telecom networks the government expects businesses to become more efficient and for e-commerce to become a more prominent feature of economic growth. In addition, networks will facilitate rural access to education and health care. However, there is much progress to be made if the country is to improve the business climate and attract investors.
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Angola’s telecom sector has showed consistent recovery following the end of a decades-long civil war in 2002. Political stability has encouraged foreign investment while the government and regulator have started the process of opening up the telecom sector to new competitors. The mobile market remained a duopoly between Unitel and Movicel for many years: although Angola Telecom had a share in the market it did not launch LTE services until mid-2018. There has been slow progress in LTE network development, with only about 12% of the country covered by network infrastructure by early 2019. A new unified licensing regime introduced in late 2017 has allowed for two additional licensees to operator across all sectors. One of these licenses is expected to be awarded in early 2019, after some delay. Angola Telecom is also in the process of being part-privatised, with the government aiming to sell a 45% interest in the company.
Competition has been introduced in the underdeveloped fixed-line market but launch delays and consolidation among the newly licensed players have led to a duopoly in this sector as well, between Angola Telecom and Mercury Telecom. After three years of loss-making operations, Telecom Namibia pulled out of its investment in fixed-wireless operator Mundo Startel, citing regulatory obstacles. The market is expected to undergo considerable change into 2019 following the expected launch of services from the fourth Unified Global licensee and the improved competition offered across all sectors.
Companies mentioned in this report:
Angola Telecom, Movicel/MoviNet, Unitel, Mercury Telecom (MS Telecom), Telesel, Nexus, Mundo Startel (Telecom Namibia) , Wezacom, Main One, Angola Cable, Angola Communication Systems (ACS), Snet, Multitel, Maxnet, Net One, Internet Technologies Group (ITG), TV Cabo (Visabeira), Portugal Telecom.
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Major Key Points in Table of Content:
Key statistics
Country overview
Telecommunications market
Historical overview
Market analysis
Regulatory environment
Basic Telecommunications Law 2001
Regulatory authority
Universal Service Fund
Universal licences Interconnection
Telecom sector
liberalisation Privatisation
Foreign ownership
Fixed network operators
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