Growth in the African Mobile Communications Market was Double the Global Market

Dublin, Ireland, April 23, 2010—Africa is a continent of contrasts. Endemic poverty and political malfeasance are the most widely understood characteristics, but the nascent market power of an underdeveloped continent with a population that is expected to exceed 1 billion people for the first time in 2010, is staggering.  

The continent that gave birth to the concept of the Digital Divide has, with a speed that has confounded even the most optimistic, embraced aspects of information and communications technology at an envious pace. Over the past five years growth in Africa’s mobile communications market has outstripped growth in the global mobile market by a factor of 2 to 1, and at the end of 2009 there were almost 450 million mobile subscribers, according to a recent Research and Markets report. African ICT penetration is still well below global averages, and African teledensity is bordering on 50% in a world where the 100% mark represents no barrier.

Meanwhile, a new series of reports on the telecom, technology and financing sectors of Ethiopia, Nigeria and Zimbabwe reveal investment opportunities worth up to US $10 Billion and growth prospects averaging 24% over five years.

Investment Opportunities in the ICT Sector Africa: 2010 Volume 1, published by consulting firms BroadGroup and Technology Strategies International, provides analysis of Ethiopia, Nigeria and Zimbabwe, three of Africa’s riskiest yet highest potential markets. The three countries have a combined population of 237 million and teledensity of just 25%. Projected average mobile growth rates over the next five years are 38%, 10% and 24% respectively.

The investment reports are the first to present detailed analyses of the financing environment for the ICT sector in each country. Analysis includes private equity and banking sectors and Investment funds active in infrastructure and related ICT investing as well as existing telecom players, new entrants and upcoming government and private projects.

The countries covered in this first report are among the most challenging for ICT, commented Dominic Lowndes, managing director of BroadGroup TMT Ventures. At the same time they