Datatel GSM, a joint venture between SA-based Gateway Communications and Sierra Leone operator Datatel Connections, has been awarded a GSM wireless licence for that country.
The licence will allow the company to construct a wireless network that will offer mobile, fixed wireless and data services using GSM and CDMA technology.
According to Datatel GSM, it will focus on providing these services to business, consumer and non-governmental organisations.
The company hopes to launch services in the capital, Freetown, in the second half of this year, after which it will extend it network coverage to the provincial areas.
Sierra Leone has a landline penetration of under 0.5%, making it an ideal candidate for an advanced GSM and CDMA infrastructure, which can be rapidly and cost-effectively rolled out.
"We have been providing services in Sierra Leone for quite some time, beginning with Internet services, then voice, so the mobile market is a natural extension for us and is obviously built on a strong and solid foundation," says Mike van den Bergh, MD of Gateway Communications.
"We have had a good working partnership with Datatel Connections since 2000 and the relationship has been very successful for us both, so when the opportunity came to bid for the wireless licence, it was logical for us to form a JV for the bid."
Deregulation in the Sierra Leone market has led to growth in investor and consumer confidence and greater freedom of movement, while a growing awareness of wireless services has resulted in significant demand for reliable and cost-effective telecommunications services.
"We are extremely bullish about the prospects for the mobile market and predict very high growth rates in what is presently an underserviced market," he says.
"We feel it is important to look outside what many service providers consider to be the 'traditional` African countries - like Nigeria and Kenya, for example - and focus on the other African countries that are growing fast.
"Gateway already provides connectivity in close to 30 African countries and is the largest carrier of voice traffic on the continent. This is significant, because it means we can leverage this to provide a strong mobile service for Sierra Leone," says Van den Bergh.
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