In Telecom Africa

Thursday, July 1, 2010

22 Eye Mozambique's 3rd Operator Licence

22 Mozambican and foreign companies have acquired contract documents for the tender of the country’s third mobile telephone licence, the director-general of Mozambique's National Communications Institute (INCM) has announced.

A year ago, the government approved the introduction of a third wireless operator to ‘meet demand’. The government now has 60 days to evaluate the proposals and select a winning bid. The successful applicant will be permitted to launch operations within 30 days of licensing, with an obligation to enter the market within a year.

Under the terms of the tender, the Ministry of Transport and Telecommunications (MTT) has set a USD25 million minimum bid for the 15-year licence. The regulations also require bidders to operate one or more networks with at least two million customers and to have a local partner. The government has said it will place more value on a bidder’s technical proposal, than its financial one.

Mozambique is home to two wireless network operators: Mcel with an estimated 3.8 million customers at the end of 2009 and Vodacom with 1.63 million at the same date. Wireless penetration stood at 23.8% in March 2010, leaving plenty of room for growth.

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