Dar es Salaam, Tanzania (PANA) – Tanzania’s telecom market will reach US$1.3 billion in revenue this year, according to a new study released by Pyramid Research, indicating that mobile voice services will continue to be the major revenue contributor generating US$845 million, or 67% of total service revenue in 2015.
“Growth in mobile service revenue will be driven by the expansion of mobile networks into new regions, particularly rural areas,” said the company, which provides international market analysis and consulting services to the communications industry.
“Increasing price competition has also helped to boost adoption and usage of mobile services, including mobile money services,” it added, noting that over the next five years, overall service revenue will grow at a Compound Annual Growth Rate (CAGR) of 4.5% to reach US$1.6 billion in 2020.
Currently Tanzania has two fixed-line operators, which are Tanzania Telecommunications Company Limited TTCL and Zanzibar Telecom Limited (Zantel), besides eight licensed mobile networks.
Leading mobile network operators in the country are Vodacom Tanzania, Tigo and Bharti Airtel.
According to the latest market report by Tanzania Communications Regulatory Authority (TCRA), voice subscriptions in the industry reached almost 36 million in September 2015.
Vodacom Tanzania, a unit of South Africa’s Vodacom, commanded a stake of 35% of the market followed by Airtel and Tigo, which had a shareholding of 30% each. The shares of Zantel and TTCL were four and one per cent respectively.
The new report, titled: ‘Tanzania: Revenue Growth to be Underpinned by Mobile Network Expansion into Rural Areas’ provides an executive-level overview of the telecommunications market in Tanzania today, with detailed forecasts of key indicators up to 2020.
