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Poor Rural Coverage Killing Tanzania’s Mobile Landscape

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A recent research by Business Monitor International suggests that the Tanzanian mobile market could see a lot of growth if the rural coverage would be improved.

This has seen the country only achieve less than 60 per cent coverage for mobile networks.

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The research also highlights the high cost of expanding the networks to rural areas.

“Furthermore, there is a strong case to pursue revenue growth by providing advanced data services in urban areas, as opposed to rural roll-out, to offset the impact of declining revenues from traditional voice services,” the report said.

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But the operators have seen an increase in value added services such as mobile money transfer, with Tanzania recording over 5 million users on MPesa.

The research also showed that the mobile sector grew by just 3.25% in 2012, compared to 22.3% in 2011, owing to inactive SIM disconnections by some operators.

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Vince Matinde
Vince Matindehttp://www.matinde.com
All things digital. Africa is the next tech space to watch out for. Keep it here as I tell you all about it @matinde. Email me at [email protected]

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