Summary
Almost two decades of peace and radical reforms have transformed Mozambique into one of the fastest and most consistently growing economies in the world. It is expected to escape the global economic crisis with only a mild drop of GDP growth in 2009 and 2010, before achieving 6% or more again from 2011.
The country was one of the first in the region to reform its telecommunications landscape, immediately after a long civil war ended in 1992. The mobile sub-sector has experienced excellent growth rates following the introduction of competition in 2003 between Vodacom Mozambique and mCel, the incumbent mobile subsidiary of the national telco, TDM.
However, market penetration is still well below the African average. The licensing of a third mobile network in 2010 is expected to deliver a boost to subscriber growth in the sector but also drive the average revenue per user lower again which had already stabilised following the introduction of mobile broadband services and higher tariffs.
The government is intent on introducing competition to the fixed-line sector as well, but it is hesitating to privatise TDM. All other services are open to competition, subject to licensing by the industry regulator, INCM.
Internet usage in the country has been hampered by the inadequate fixed-line infrastructure and the high cost of international bandwidth, but this market sector has started to accelerate following the introduction of various kinds of broadband services including ADSL, cable modems, WiMAX wireless broadband and mobile data services, and then the landing of the first international submarine fibre optic cable in the country (Seacom) in 2009.
Further improvements can be expected from the ongoing rollout of 3G mobile services and a national fibre backbone network as well as the landing of the second international fibre (EASSy) in 2010. The lower cost of bandwidth has already started to trickle down to lower consumer prices in some service segments, while others have remained unchanged.
Key highlights:

Market analysis 2010;
Forecasts for mobile, fixed-line and Internet market to end-2011;
Profiles of major players in all market sectors;
Financial results of three major telcos/cellcos;
Second 3G mobile service launched;
Third mobile licence expected in 2010;
Mobile ARPU hits new low;
Analysis of mobile ARPU trends in local and foreign currency;
New QoS regulations expected in 2010;
National fibre rollout;
Second international submarine fibre optic cable has reached the country;
Pricing comparison of all major broadband services (ADSL, cable TV, WiMAX, EV-DO, 3G mobile);
Analysis of broadband price changes due to international fibre.TDM financial results-2006-2008
YearRevenue Net profit
MZN (billion)
20062.36-15
20072.73140
20082.79139

This annual report provides a comprehensive overview of trends and developments in Mozambique's telecommunications market. Subjects covered include:

Key statistics;
Market and industry overviews;
The impact of the global economic crisis;
Regulatory environment and structural reform;
Major players (fixed, mobile and broadband);
Infrastructure development;
Mobile voice and data markets, including 3G;
Average Revenue per User (ARPU) trends and analysis;
Internet and broadband development and pricing;
The impact of the country's first international submarine fibre optic cables;
Convergence (voice/data, fixed/wireless/mobile).For those needing high level strategic information and objective analysis on the telecommunications sector in Mozambique, this report is essential reading and gives further information on:

One of the highest growth potential telecom markets in Africa;
Government policies affecting the telecoms industry;
The impact of the global economic crisis;
Market liberalisation and regulatory issues;
Telecoms operators-privatisation, IPOs, acquisitions, new licences;
Internet and broadband development and pricing;
Mobile data services and pricing, including 3G mobile;
Average Revenue per User (ARPU).

Table of Contents
1. Executive summary
2. Key statistics
3. Telecommunications market
3.1 Market analysis 2010
3.2 Regional benchmarking
4. Regulatory environment
4.1 Telecommunications Law 1992
4.2 Basic Telecommunications Law 2004
4.3 Regulatory authority
4.3.1 Instituto Nacional das Comunicacoes de Mocambique (INCM)
4.4 National Commission on Information
4.5 Telecom sector liberalisation in Mozambique
4.6 Interconnection
4.7 Universal service
4.8 Quality of service
5. National fixed-network operator
5.1 TDM
5.1.1 Fixed-line statistics
5.1.2 Subsidiaries
5.1.3 Privatisation
5.1.4 Network infrastructure
5.1.5 National fibre backbone
5.1.6 Tariffs
5.1.7 Financial results
6. International infrastructure
6.1 Satellite
6.2 Terrestrial microwave and fibre
6.3 Submarine fibre
7. Internet market
7.1 Overview
7.1.1 Internet statistics
7.2 Internet connectivity
7.3 Public Internet access locations
7.4 Cost of personal computers
7.5 Mozambique's ISP market
7.5.1 Teledata
7.5.2 Intra (Internet Solutions)
7.5.3 Tropical Web
7.6 Mozambique Internet Exchange Point (MOZ-IX)
7.7 E-government
8. Broadband market
8.1 ADSL
8.2 Broadband via cable TV (TV Cabo)
8.3 Wireless broadband
8.3.1 EV-DO
8.3.2 WiMAX
9. Mobile communications
9.1 Overview of Mozambique's mobile market
9.2 Mobile statistics
9.3 Major mobile operators
9.3.1 mCel
9.3.2 Vodacom Mozambique
9.4 Third mobile licence
9.5 Mobile data services
9.6 Third generation (3G)
9.7 ARPU
10. Related reports
Table 1-Country statistics Mozambique-2010
Table 2-Fixed-line network statistics-2010
Table 3-Internet provider statistics-2010
Table 4-Internet user statistics-2010
Table 5-Mobile statistics-2010
Table 6-National telecommunications authority
Table 7-Fixed lines in service and teledensity-1995-2011
Table 8-TDM financial results-2006-2008
Table 9-Internet users and penetration rate-1996-2011
Table 10-TDM ADSL pricing-June 2010
Table 11-NetCabo cable broadband pricing-June 2010
Table 12-TDM EV-DO broadband pricing-June 2010
Table 13-Teledata WiMAX pricing-June 2010
Table 14-Intra WiMAX pricing-2009 vs 2010
Table 15-Mobile subscribers and penetration rate-1997-2011
Table 16-Mobile subscribers by operator and annual change-September 2009
Table 17-mCel financial results-2006-2008
Table 18-Vodacom Mozambique financial results-2007-2010
Table 19-mCel mobile data pricing-June 2010
Table 20-mCel BlackBerry service pricing, home versus business-June 2010
Table 21-mCel 3G prepaid pricing-June 2010
Table 22-Vodacom 3G post-paid pricing-June 2010
Table 23-Vodacom 3G prepaid pricing-June 2010
Table 24-Vodacom Mozambique ARPU-2004-2010