Vodacom today announces that it plans to launch its cellular network operation in Mozambique within the next eight months.
The decision follows the successful conclusion of a 12-month long negotiation of an interconnection agreement between Vodacom and the Mozambican operators, fixed-line telecommunications operator TDM and its mobile phone subsidiary mCel.
"Concluding the interconnection agreement was the main outstanding issue since Vodacom was awarded the licence to operate Mozambique`s second cellular network," said Andrew Mthembu, Deputy Chief Executive of the Vodacom Group and Managing Director of Vodacom International Holdings Ltd.
He added: "For the agreement to be meaningful, the separation of TDM and mCel had to be effected. This has been done."
Vodacom has since instructed its supplier Siemens Telecommunications, to go ahead with the roll-out of the network in Mozambique.
Mozambique is SA`s biggest trading partner in the southern African region. South African companies have invested in excess of R25 billion in Mozambique over the past few years.
Vodacom is targeting a 40% market share after two years in operation in a total market estimated to grow to two million mostly prepaid customers over the next 10 years.
The company has projected a maximum capital investment of $260 million into the operation, which will create an estimated 1400 direct and indirect jobs and boost the neighbouring country`s economy.
Trading as Vodacom Mocambique, the operation will be majority-owned by Vodacom, with local partner Emotel holding a minority stake.
Share
