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World`s leading cellular standard hits one billion customers

Johannesburg, 26 Feb 2004

The global divide between rich and poor seems obvious following news that the number of people using GSM (Global System for Mobile Communications) cellphones equals the number of people who have no access to clean drinking water.

The irony, however, is that the majority of the world`s one billion GSM customers are in developing countries where GSM cellphones are not yuppie status symbols, but vital communication tools.

According to Gareth Jenkins, a telecommunications analyst at Deutsche Bank, GSM has made a real impact on people`s lives by bringing modern telecommunications to chronically under-served communities in Africa, Asia and Latin America.

Mthobi Tyamzashe, Group Executive - Corporate Affairs of Vodacom, added: "GSM`s one billion milestone comes 10 years after SA adopted GSM on the eve of the country`s first democratic elections. Choosing GSM was an act of faith that paid off handsomely for the 18 million South Africans who today have access to the world`s leading cellular technology."

Vodacom is SA`s market leader with more than 10 million GSM customers. The company also operates in Mozambique, Lesotho, the DRC and Tanzania.

According to Rob Conway, CEO of the GSM Association, the one billion figure was reached last month, somewhat earlier than expected.

The association says that cellphones now outnumber fixed landlines globally. More GSM handsets are in daily use than the total number of personal computers and televisions combined, according to a recent Deutsche Bank study.

GSM added nearly 198 million new users over the past 12 months. This is more customers than the number-two mobile technology, CDMA (Code Division Multiple Access), had in total at the end of 2003.

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GSM Association

The GSM Association is a global industry body consisting of more than 620 second and third generation mobile operators and 130 manufacturers and suppliers. The GSM standard now accounts for 73% of the world`s total digital wireless market and is used in over 200 countries and territories.

Editorial contacts

Mthobi Tyamzashe
Vodacom
082 990 1666