Nigerian telecommunications market grows by 23% in 2008…
EVEN with the threat of economic recession sending shivers down the spines of world economies, the Nigerian telecoms sector has braced the storm, to add 23 percent in US dollar value, translating to about $8.42 billion revenue at the end of 2008 business year, giving Nigeria a quality lead of the African telecom market ahead of South Africa.
The country is also expected to maintain this lead consecutively in the next five years with a steady growth prediction of 5.7 percent, translating to about $11.14 billion by 2013. This piece of information was released by world authoritative research institute, Pyramid Research, after putting together the pieces of developments that rule African telecoms market, yesterday.
What this means is that with more than 61 million subscribers, Nigeria has now surpassed South Africa as the largest mobile telecom market in Africa, and continued growth over the next five years is expected to trigger more intense competition among a growing number of network operators.
According to Pyramid Research, the report was coming from conscientious and rigorous peep into the Communications Markets in Nigeria and it offers a complete analysis of the country’s converged telecommunications, media, and technology sectors based on exclusive and proprietary data it researched in the Nigerian market.
At the end of the day, there was 28-page report tagged ‘Communications Markets in Nigeria’ which provides detailed competitive analysis of both the fixed and mobile sectors, tracks the market shares of technologies and services, and monitors the introduction and spread of new technologies such as WiMax, IPTV, and VoIP.
The study also offers a detailed forecast of the Nigerian communications market by analysing key trends, evaluating near-term opportunities and assessing upcoming risks factors.
Author of the report and analyst with the Pyramid Research, Yejide Onabule, noted that “the Nigerian telecom market grew by 23 percent in US dollar value in 2008, generating $8.4 billion in overall telecom service revenue and with mobile subscriber penetration at just 42 percent, Nigeria’s total telecom revenue is expected to increase at a CAGR of 5.7 percent from US$8.42 billion in 2008 to $11.14 billion in 2013,”
Since liberalization of the market in 2003, Nigeria’s telecom industry has experienced exceptional growth rates, which is attracting new operators and the report predicts that “the bulk of service revenue will continue to come from mobile, which will generate 83 percent of total service revenue over the next five years” .
According to Onabule, “suppliers of mobile network technologies are likely to benefit from more aggressive rollouts of mobile voice and data services, because demand for CDMA and GSM base stations is expected to remain strong over the next several years.”
Communications Markets in Nigeria is part of Pyramid Research’s Africa and Middle East Country Intelligence Report Series. Pyramid Research’s premium Country Intelligence Reports are the industry’s best available analysis on market trends, regulatory environments, and competitive dynamics for 60 countries worldwide.
