Globacom Business News

Nigerian Operators Blocked from Buying NITEL Mobile Assets

NITELThe Nigerian government has decided that the country’s GSM network operators will not be allowed to buy the mobile assets of state-owned NITEL when it is eventually privatized. Although the government was originally looking to sell the company as a single entity, the government has now agreed to split the company into its component divisions and sell them separately.

Director-General of the Bureau of Public Enterprises (BPE), Dr. Christopher Anyanwu, said that the decision was based on the advice of the National Communications Commission (NCC).

The four GSM networks, MTN, Etisalat, Zain, and Globacom will be allowed to bid for NITEL’s land line assets, although Glo will only be allowed to bid for the CDMA and international gateway assets and licenses as it already holds a land line license. Read the rest of this entry »

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Nigerian-Owned Main One Cable Will Land in Five Places in Africa; Mainstreet Technologies Makes Alliance with Tata for European Connections

Main One Cable

Main One Cable

Nigerian-owned Mainstreet Technologies said this week that the Main One Cable is on schedule to be operational by June 2010 and that the building of landing stations has started in Ghana, Nigeria and Portugal.

Also, there will be three other landing station points in Africa with landing station partners to be announced in 2010.

In early September, Globacom announced that the much-delayed Glo-1 cable had landed in Lagos.

The telecommunications industry in Nigeria has practically given up on Glo-1, given that the cable is not yet able to provide access to its potential customers.

Meanwhile Main One seems to be making steady progress in becoming the second competitive cable in West Africa by June 2010.

According to Main One’s Commercial Director Bernard Logan, it is “80% through production” of the fibre, has “started its first lay in Ghana” and is building three landing stations in Ghana, Nigeria, and Portugal. Read the rest of this entry »

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Globacom Eyes Aircom in Planned Cote d’Ivoire Mobile Market Entry

GlobacomGlobacom Limited, Nigeria’s second national operator (SNO) has its eyes on Aircom, a GSM licensee in Cote d‘Ivoire in a bid to advance its plan to enter Cote d’Ivoire’s mobile telephony market. According to a report in Nigeria’s Technology Times, Globacom may have opened talks with Aircom in a bid to enter the market anytime soon but details are still very hazy for now.

Officials of Globacom did not return calls by Technology Times to comment on indications emerging from Cote d’Ivoire that Globacom, promoted by Nigerian billionaire, Mike Adenuga Jnr., is in discussions with Aircom on closing a deal to expand Globacom’s sub-regional tentacles into Cote d’Ivoire’s telecoms market. Read the rest of this entry »

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Globacom Says that Glo-1 Cable has Landed in Lagos

GlobacomGlobacom announced last weekend that its long-delayed Glo-1 cable has landed in Lagos, Nigeria. Globacom’s Group Executive Director, Paddy Adenuga, said in a statement to mark the landing of the cable that Glo-1 “will stimulate a new era of prosperity in the continent by offering cheap, fast, and reliable international calls, unprecedented fast access to the internet and revolutionary data transfer”.

Paddy Adenuga said the cumulative effect of the huge bandwidth and cheaper rates Glo-1 would bring to the continent “will empower Africans in the field of communications, education, agriculture, banking, and health”. The Glo-1 cable will have a capacity of 640 gigabits per second and an ultimate capacity of 2.5 terabits per second. Read the rest of this entry »

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Nigeria Says 13 Investors Interested in NITEL Privatization

NITELNigeria has received expressions of interest from 13 potential investors in the sale of, at least, 75% of NITEL, the former state telecommunications monopoly which it has been trying to privatize for years.

The Bureau for Public Enterprises (BPE) said it would evaluate interest from companies including the Nigerian arms of South Africa’s MTN and Emirates Telecommunications Corp (Etisalat), MTNL India, a group involving Spain’s Telefonica and Nigerian firm Globacom.

Nigeria, Africa’s most populous nation, is one of the world’s fastest growing mobile markets, adding 7 million new subscribers in the last quarter of 2008 alone, and has overtaken South Africa to become the biggest on the continent. That could make it attractive to foreign investors, particularly if NITEL’s M-TEL mobile unit can be bought at the right price. However, the Nigerian government has struggled to sell NITEL, largely because of the state of its fixed line infrastructure. Read the rest of this entry »

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Nigeria Sets Two-Month Deadline on NITEL (Nigeria Telecommunications) Privatization

NITELNigeria’s government has set a 60-day deadline for the privatization of the state-owned incumbent telco NITEL, including its mobile subsidiary M-Tel. The announcement came on Monday as the Nigerian Vice-President, Goodluck Jonathan, appointed a new board to the company to oversee its stabilization.

NITEL is in financial difficulty and faces intense competition. The firm’s employees have taken strike action this year over unpaid salaries and severance packages, with workers in some instances going without pay for eight months.

Local press reports quoted Goodluck Jonathan as telling the board: “There are a lot of issues at stake since NITEL is a critical infrastructure not only for government but for all Nigerians. Your task is, therefore, very challenging as all of us want to see how NITEL will be properly privatized to yield the expected benefits.” Read the rest of this entry »

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Globacom (Glo Mobile Ghana) Begins Work on Cable System to Support Broadband Internet Service in Ghana

GlobacomGhana’s sixth mobile licence holder, Glo Mobile Ghana, says it has begun work on rolling out the underground cable system needed for its broadband internet service.

Glo Mobile Ghana, which received its licence from the National Communications Authority (NCA) in June 2008, is laying the cables to link to the Glo-1 submarine cable to be laid from Europe through Ghana to Nigeria, by its parent, Nigeria-based Globacom. Read the rest of this entry »

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Glo-1 Cable Launch Moved to November

GlobacomWest African undersea fibre-optic cable system Glo-1 has reportedly delayed its commercial launch until November, after missing previous target dates of March and May.

Globacom, which is building the network connecting Nigeria to Europe, says Glo-1 has run into technical difficulties, including licensing issues with governments.

Read more on Telecommunications in Africa

Globacom

Source(s): Telegeography

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Etisalat Nigeria Passes One Million Subscriber Mark (+ Market Shares of Telecommunications Companies in Nigeria)

EtisalatEtisalat Nigeria, the country’s newest GSM mobile network operator, has announced that it has passed the one million subscriber mark – less than nine months after the company launched its services in Nigeria.

According to the CEO, Steven Evans, “The swift and steady growth in our subscriber numbers is an evidence of the acceptance we have enjoyed from our customers and the superior service quality we offer. We are delighted to have been able to hit such a figure under a year of commercial operations despite our position as the fifth entrant into the dynamic Nigerian telecoms market”.

Based on figures from the Mobile World, at the end of Q1, the market shares for the operators in Nigeria were:

Of the country’s CDMA networks, their respective market shares are:

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Zain Nigeria Signs Contract with Ericsson for Managed Services

ZainMobile operator, Zain, and Ericsson have entered a five-year strategic managed services agreement under which Ericsson will operate Zain’s nationwide GSM/WCDMA networks in Nigeria. Under the agreement, Ericsson will be responsible for the network operations, field operations, including optimisation, third-party vendor management for Zain’s GSM/WCDMA networks, and business support systems.

Ericsson will serve more than 4,000 sites across Nigeria on behalf of Zain. As part of the agreement, about 450 employees will be transferred, under their existing terms and conditions of service, from Zain to Ericsson, where they will undergo further training in the latest wireless technologies.

The contract gives Ericsson its first major managed services footprint in Africa, and reflects its continued focus on high-growth markets, where most subscriber growth is expected to take place during the next five years.

EricssonLars Lindén, President, Ericsson Sub-Saharan Africa, says the agreement will deliver significant financial and operational efficiencies for Zain over the five-year term. “Managed services is one of the fastest-growing areas in telecoms and Nigeria is demonstrating strong growth and increased levels of investment and competition,” he says. “The synergies between the two companies will ensure best-in-class network stability and market support.” Read the rest of this entry »

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