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Angola readies for WiMax

By Vanessa Haarhoff, ITWeb African correspondent
Johannesburg, 05 Apr 2007

Telecom Namibia's joint venture with Angolan fixed-line operator MundoSartel (MST) is set to launch a WiMax network in Luanda in the next few months.

"The WiMax network is envisaged to be operational in July 2007," says Oiva Angula, senior manager of communications at Telecom Namibia.

Telecom Namibia is a 44% shareholder of MST, with the remaining shares owned by private concerns in Angola.

Chinese telecommunications supplier ZTE is providing the network components of the full Internet Protocol next-generation network.

Angula says Telecom Namibia has contributed $4.2 million of the original $9.7 million in equity costing of the network. The company has also provided $12.2 million in loans to the joint venture.

"We expect to raise more funds through arrangements with commercial lending institutions. Our investment will grow gradually as we roll-out the network to more and more of the 18 Angolan provinces in the next five years," he says.

MST and Telecom Namibia will offer the WiMax services in Luanda and Benguela, at first. After a period of 12 months, the joint venture will roll-out in the Angolan provinces of Huambo, Namibia, Huila, Kwanza Sul and Cabinda. The third phase will follow a year later and the fourth, another year after that, according to a Telecom Namibia statement.

Untapped market

Namibia Telecom MD Frans Ndorama believes Angola is an "untapped market", which holds positive potential.

Angola is the fastest-growing economy in Africa, largely due to a major oil boom, says Angula. The government is encouraging foreign investment and is gradually making a transition from a centralised economy to a free market.

"This transition is affecting all sectors of the Angolan society, including the ICT sector," says Angula.

State-owned Angola Telecom still reigns in the fixed market, but private operators like MST, as well as Telesel, Mercury Telecom and Wezacom, intend to establish their networks throughout all 18 Angolan provinces, explains Angula.

In addition, the market has two mobile operators - Unitel and Angola Telecom subsidiary, Movicel - with a third GSM licence likely to be issued soon, he says.

The growth in the Angolan telecoms sector gives Telecom Namibia a strong platform from which MST can grow, Angula adds.

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