Airtel ranked fifth in telecom Capex in Middle East Africa region in 2011

The telecom Capex of service providers in
the Middle-East Africa region has increased by nearly 8 percent in 2011 at
$30.4 billion from $28.2 billion in 2010.

 

The telecom Capex for the year 2011 was
down by $7.2 billion in comparison to the Capex of 2009, which stood at $37.6
billion.

 

(Please see the chart of capital
expenditure of telecom players in the Middle-East Africa region at the end of
the article)

 

Mobile expenditure has gone up from $20.2
billion to $21.8 billion in 2011. Fixed-line expenditure has also amplified
from $8.04 billion to $8.6 billion in 2011. The fixed-line expenditure,
however, decreased from $9.5 billion in 2009 to $8.6 billion in 2011.


In mobile sector, STC tops the Capex chart
in 2011 with $2.5 billion expenditure, followed by GSM network provider MTN,
which shelled out $2.1 billion. Qatar Telecom (QTel) spent $2 billion for the
same year, according to Ovum.

 

STC also topped in the fixed-line
expenditure, which stood at $1.2 billion in 2011. Turk Telecom was just behind
the STC and invested $859 million for the fixed-line in 2011.


Etisalat’s expenditure in both fixed-line
and mobile stood almost the same. It invested $670 million in the mobile sector
and $657 million in the fixed-line for the year of 2011.


In 2011, Bharti Africa’s mobile expenditure
stood at $1.2 billion, which is almost three times bigger than the expenditure
of 2010. Recently, Bharti Africa achieved more than 50 million customers in
Africa.


Bharti Africa invested vigorously in order
to compete with the well-established operators across African region. Recently,
it launched a 3.75G platform in Zambia to give users high speed broadband
Internet on their mobile phones. Also, few months back, it
launched 3G services in Congo B and Airtel Money in Zambia and Kenya.
To expand its footprint across Africa, it acquired 2G and 3G licence in Rwanda.


With entry of MNC’s like Airtel, Vodafone
and innovative initiatives like M- Pesa by incumbent players African telecom
market will hog the limelight in coming years. Africa, which currently has 735
million subscribers, is poised to reach 911 million subscribers by 2014.


 

MEA telecom operator Capex in 2011 v/s
2010 (in USD million) Source: Ovum

Operator

2011

2010

2009

 

Mobile

Fixed

Mobile

Fixed

Mobile

Fixed

STC

2,498          

1,208

1,874

972

2845

1,402

MTN

2,104

2,660

3,712

QTel

2,002

228

1,668

235

1,976

326

Bharti Africa

1,254

404

Turkcell

859

1,079

1,769

Etisalat

670

657

687

645

858

718

Maroc telecom

617

256

603

262

438

216

Vodafone Egypt

501

422

392

Zain

499

660

1,667

Orascom Telecom

464

37

576

56

871

72

Turk Telecom

379

859

312

838

742

852

Safaricom

376

288

258

Millicom Africa

261

277

398

Du

259

88

254

85

463

197

Bezeq

119

243

106

293

141

226

Omantel

73

154

98

134

127

124

Batelco

30

40

38

42

46

52

Telecoms Egypt

154

191

175

All other service providers

8,859

4,670

8,204

4,294

11,431

5,167

Total

21,825

8,594

20,210

8,046

28,136

9,527

 

30,419

28, 256

37,662

By Danish Khan
[email protected]