Telecoms in Africa - a state affair

Forbes published an interesting article on the state of telecoms in Africa ...

Worldwide, 61% of formerly state-owned fixed network operators were in private hands by 2005, according to the International Telecommunication Union (ITU).

Yet, the figure in Africa was just 44%. Almost all of Africa's governments still own some, and many own all, of what was once the national phone monopoly.

In the mid-1990s, African telecoms markets were dominated by state-owned fixed network (wireline) monopolies. African telecoms markets have been transformed since then by mobile networks. Fixed line teledensity is still under 4% and stagnant--according to latest ITU figures (published in May), 1.6% outside North and South Africa.

New mobile networks, by contrast, now cover most rural as well as urban areas:
--Continent-wide mobile teledensity has risen to 27%, with South Africa among countries achieving over 80%.
--Mobile phones now account for more than 90% of lines in most countries on the continent.
It is mobile rather than fixed networks that are expected to provide the platform for African broadband. Although many fixed incumbents have mobile businesses, this transformation has been led by private-sector competitors, mostly European, Middle Eastern and South African investors.
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