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Report Indicates Underdeveloped Broadband Sector in Gabon

Gabon's fixed-line and internet/broadband sectors are still underdeveloped, according to a 2012 report, “Research and Markets: Gabon - Telecoms, Mobile and Broadband”. The report provides a comprehensive overview of trends and developments in Gabon's telecommunications market.

Lack of development is due to a lack of competition, and the resulting high prices contrasts sharply with the developed mobile market of the region.

Research and Markets’ report shows Gabon became one of the first countries in Africa to exceed 100 percent mobile market penetration in 2008.

Three service providers – Zain (News - Alert) (formerly Celtel, now Bharti Airtel), Gabon Telecom's Libertis, and Etisalat's Moov – competed for a share in this market and the network operators could maintain much higher average revenue per user (ARPU) than their peers in the region.

The competition in the market got hotter with the entry of a fourth network, USAN (News - Alert) (operated by Bintel under the brand name Azur), as it triggered a price war.

All the operators had to search for new income streams and cope with a dip in the revenues and profits.

The market saw some promise, however, when a license to offer 3G mobile broadband services was finally awarded in late 2011, following more than a year of delays.

The broadband market is expected to boost with 3G licenses and more international fiber bandwidth this year. The recent arrival of a second international submarine fiber optic cable (ACE) and the launch of 3G mobile broadband services are also expected to bring significant improvements to the broadband sector this year.

Readers will see several subjects, including market and industry overviews, government policies affecting the telecoms industry, market liberalization and regulatory issues.

Broadband is a lucrative sector but VoIP might be a bigger issue than broadband for rural telcos.

Edited by Braden Becker

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