New York, Nov. 30, 2021 (GLOBE NEWSWIRE) -- According to the 2019 General Household Survey (GHS) statistical report by Stats South Africa, the share of households who had access to the internet anywhere in the country in the year 2019 was recorded to 63%. The statistics also stated that the Gauteng province recorded the highest share of 74.2% in terms of households with internet connectivity. On the other hand, according to the statistics by the Independent Communications Authority of South Africa (ICASA), in the year 2019, mobile cellular subscriptions in the country registered to 96 Million, whereas smartphone subscriptions in the country grew from 53 Million in 2019 to 60 Million in the year 2020.
Research Nester recently released a report on “South Africa MNO MVNO Market” which includes a detailed insight on the key players operating in the market, along with the key factors that are anticipated to drive the market growth throughout the forecast period, i.e., 2020-2028. The report also focuses on the latest market trends and the opportunities that are expected to contribute to the growth of the market in the coming years.
The telecommunications industry in South Africa and its nearby areas have made significant developments over the past decade and is expected to grow at a massive pace in the years to come. For instance, it has been estimated that by the end of 2025, close to USD 150 Billion of economic value would be added by mobile technologies and services in the sub-Saharan Africa region. Moreover, backed by the increasing penetration of smartphones in the nation, which is expected to reach close to 26 Million by the end of 2023, the demand for high-speed internet amongst the end-users has grown massively. With the advent of 5G technology, the telecom operators in the country are increasingly focusing on raising their investments in network technology so as to expand their existing services. For instance, in sub-Saharan Africa, the capital expenditure on 5G infrastructure by the telecom operators is expected to reach around 50% of the total share of capex by the end of 2025.
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On the other hand, in one of the statistics stated by ICASA, the national population coverage for 3G grew to 99.8% in the year 2020 from 99.7% in 2019. For 4G/LTE, it touched 96.4% in 2020, while 5G witnessed a coverage of 0.7% in the same year in the country. Additionally, it is expected that about 5% of the total connections in Sub-Saharan Africa will be on the 5G network by the end of 2025. With the growing expansion of 5G technology and rising demand for telecommunication services in the country, the need for mobile network operator (MNO) and mobile virtual network operator (MVNO) wireless communication service providers is also expected to grow, and in turn, drive the growth of the South Africa MNO MVNO market during the forecast period.
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The South Africa MNO MVNO market garnered a revenue of USD 70.61 Million in the year 2019 and is further expected to touch a revenue of USD 97.73 Million by the end of 2028 by growing with a CAGR of 3.7% during the forecast period. The market is segmented by operating mode into reseller, full MVNO, and other operating modes. Out of these, the reseller segment is expected to hold the second-leading market share throughout the forecast period and further touch revenue of USD 34.30 Million by the end of 2028, up from USD 24.86 Million in 2019. The segment is also expected to grow with a CAGR of 3.66% during the forecast period. A reseller MVNO allows the telecom operators to market, sell, and distribute their services through the established marketing channels of the reseller. These reseller MVNOs are not at all involved with the operable functions of the telecom operators, such as activation, billing, services, device management, and others.
The South Africa MNO MVNO market is also segmented by end-user.
South Africa MNO MVNO Market, Segmentation by End-User
- Enterprise
- Consumer
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Some of the prominent industry leaders in the South Africa MNO MVNO market that are included in our report are Cell C (Pty) Ltd, Mobile Telephone Networks (Proprietary) Ltd., Rain (Pty) Ltd., Telkom SA SOC Ltd., Vodacom Group Ltd., Virgin Mobile South Africa (PTY) Ltd, Afrihost, SmartMobile, Comit Technologies (Pty) Ltd. (Me&You Mobile), Bayede Mobile (Proprietary) Limited, and others.
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