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INSIGHTS INTO MOBILE TELECOMS IN AFRICA DECEMBER 2011 #MOBILEINAFRICA INSIGHTS INTO MOBILE TELECOMS IN AFRICA A CURATED STATISTICS, CHARTS, GRAPHS AND OBSERVATIONS PRESENTATION BY @JONHOEHLER AND @ANDREWMCHENRY

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Hi Madan,Please review and select from the PDF's what PPT slides I can send you and you can incorporate into your research as long as Mobile In Africa / Jon and Andrew receive credit for the info.Thanks Andrew

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Page 1: Insights into mobile telecoms in africa   dec 2011 - final

INSIGHTS INTO MOBILE TELECOMS IN AFRICA DECEMBER 2011 #MOBILEINAFRICA

INSIGHTS INTO MOBILE TELECOMS IN AFRICA

A CURATED STATISTICS, CHARTS, GRAPHS AND OBSERVATIONS PRESENTATION BY @JONHOEHLER AND @ANDREWMCHENRY

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INSIGHTS INTO MOBILE TELECOMS IN AFRICA DECEMBER 2011 #MOBILEINAFRICA

PRESENTATION DISCLAIMER • This presentation is a collection of mobile and internet data that we have been exposed to over

the past twelve months. Some data might be duplicated but from different periods of time.

• This presentation’s intention is to provide a collective insight into the Mobile Telecommunications Landscape in Africa based on information that is publicly available.

• The views, analysis and commentary in the presentation are purely the thoughts of the presentation contributors using the information at our disposal to draw conclusions and provide insights.

• All sources where available have been credited.

• Data provided that has no source, or the source of the is unknown will be noted.

• Some sources may represent conflicting data so that should be taken into account when reading through and comparing the data provided.

Above all please enjoy the presentation and the data, insights and analysis that have been provided. Should you have any questions, queries, comments, suggestions and criticism about the presentation please don’t hesitate to make contact.

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BEFORE WE BEGIN, A BIG THANK YOU…. We would like to thank everyone who assisted in the preparation of the data and presentation as a whole. A shout out should always go to the actual research houses, mobile players and sources who produced some awesome information about Mobile in Africa that allowed us to create this presentation. Without this data we would not be able to tell our story about the amazing opportunities that exist in the mobile telecoms sector across Africa. A big thank you also goes out to Arthur Goldstuck (MD, World Wide Worx) and Brett St.Clair (Head of Mobile, Google SA) for their invaluable contributions, thoughts and insights which assisted us in preparing this presentation.

Andrew and Jon

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PRESENTATION THEMES

GLOBAL PERSPECTIVE

AFRICAN SUBSCRIBER NUMBERS

REVENUE AND ARPU INFORMATION

MOBILE AND FIXED BROADBAND

HANDSETS AND DEVICES

BEARER USAGE DATA

MOBILE ADVERTISING FORECASTS

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“According to the GSMA, Africa is now the world's second largest mobile market by connections after Asia, and the fastest growing mobile market in the world.”

GSMA AFRICAN OBSERVATORY REPORT (SEPT 2011)

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Source: http://www.ibm.com/smarterplanet/global/share/19jan2012/mobile_africa/ Date: Jan 2011

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Source: http://www.ibm.com/smarterplanet/global/share/19jan2012/mobile_africa/ Date: Jan 2011

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Source: http://www.ibm.com/smarterplanet/global/share/19jan2012/mobile_africa/ Date: Jan 2011

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Source: The Economist http://www.economist.com/node/21541008

THE ECONOMIC GROWTH POTENTIAL OF AFRICA

According to the GSMA Africa Mobile Observatory 2011 Report: In Africa, mobile penetration will reach 649 million connections in Q4 2011, having first exceeded 50% mobile penetration in 2010. Over the past five years, the number of subscribers across Africa has grown by almost 20% each year and is set to reach more than 735 million by the end of 2012 The mobile ecosystem in Africa currently generated approximately US$56 billion or 3.5% of total GDP, with mobile operators alone contributing US$49 billion. GSMA's report found that there was major untapped potential on the continent with 36% of Africans within the 25 largest African mobile markets currently having no access to mobile services.

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LETS START GLOBALLY

BEFORE WE LOOK LOCALLY

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HOW BIG IS THE MOBILE AUDIENCE?

Image: peopleareamazing.net/

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MOBILE-CELLULAR SUBSCRIPTION PER 100 INHABITANTS 2011*

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GLOBAL MOBILE-CELLULAR SUBSCRIPTIONS TOTAL AND PER 100 INHABITANTS 2001-2011*

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GLOBAL MOBILE-CELLULAR SUBSCRIPTIONS TOTAL AND PER 100 INHABITANTS 2001-2011*

Source: ITU Statistics http://www.itu.int/ict/statistics

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MOBILE SUBSCRIBERS and TABLET AND SMARTPHONE USERS vs. OTHER MARKETS

Chart via: businessinsider.com (June 2011)

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GLOBAL CONNECTED DEVICES SHIPMENTS

Source: http://techcrunch.com/2011/02/10/meeker-mobile-slides/ Matt Murphy / Mary Meeker – Top Mobile Internet Trends Presentation – 02/10/2011

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SMARTPHONES SURPASSED FEATURE PHONE SHIPMENTS IN W. EUROPE (Q2:10) / USA (Q1:11)

Source: Mary Meeker – Internet Trends Presentation – 18 October 2011

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GLOBAL SMARTPHONE VS. MOBILE PHONE SUBSCRIBERS, 2011E

Source: Mary Meeker – Internet Trends Presentation – 18 October 2011

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THE DIGITAL DIVIDE (PER CAPITA)

Source: Tomi Ahonen (Almanac 2011)

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NOW LETS

LOOK LOCALLY

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MOBILE CONNECTION AND SUBSCRIBER NUMBERS

ACROSS AFRICA

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

TOP 25 AFRICAN MOBILE COUNTRIES AND TOTAL MOBILE CONNECTIONS (2011 YTD)

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

BREAKDOWN OF THE MOBILE CONNECTIONS (2011, Q3, MILLION)

The top 25 African Mobile countries represent > 91% of the Total African Connections in 2011

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

MOBILE PENETRATION IN THE TOP 25 AFRICAN MOBILE COUNTRIES (2010 Q4, % PENETRATION)

In the Top 25 Countries, four countries (Libya, South Africa, Morocco and Tunisia) have penetration rates over 100% highlighting the extensive use of

multiple SIMs by mobile users in Africa.

A report by Buddecomm estimated that 20-25% of the active connections in both Egypt and South Africa can be attributed to second handsets or

SIMs.

In DRC, connectivity problems between networks and coverage limitations have also prompted subscribers to use multiple SIM cards to switch

between operators.

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

THE TOP 25 AFRICAN MOBILE COUNTRIES MARKET SIZE AND GROWTH RATES BY CONNECTIONS (2010 Q4)

Over the past 5 years, every the Top 25 countries have experienced double-digit annual growth in connections with 21 of the 25 countries seeing growth of over 30% CAGR from 2005 to 2010

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PREPAID AND POSTPAID CONNECTION SHARE FOR THE TOP 25 AFRICAN MOBILE COUNTRIES (Q2, 2011, %)

SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

96% of mobile connections in Africa are PREPAID compared to 52% in Europe and 82% in Latin America.

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TELECOMS REVENUES ACROSS AFRICA (ARPU)

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"The real challenge for African telecoms operators, then, is not to find increasingly ingenious ways to improve their margins, but rather to find even more ingenious ways to get customers to increase their phone budgets. The only way to do that, is to increase the financial means of customers, putting the ball squarely in the court of economic growth."

Arthur Goldstuck – MD, World Wide Worx Forbes - Telcos for Africa: the numbers that matter

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AVERAGE REVENUE PER USER ON FOUR OF THE MAJOR MOBILE NETWORK OPERATOR GROUPS IN AFRICA

Territories in Africa: 17 Subscriber Base: 48.4 Mil ARPU per Month: US$7.3

Source: Sept ’11 Results

Territories in Africa: 5 Subscriber Base: 43.5 Mil ARPU per Month: R55,6 (US$ 6,97*)

Source: Sept ’11 Results

Territories in Africa: 7 Subscriber Base: 17.2 Mil ARPU per Month: US$4.9*

Source: Sept ’11 Results

Territories in Africa: 17 Subscriber Base: 111,5 Mil ARPU per Month: US$7.98*

Source: Sept ’11 Results

* Amount with Rand conversion to Dollars included so quoted figure may vary due to exchange rate NOTE: Other MNO groups were not included due to lack of data

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

AVERAGE REVENUE PER USER (ARPU) FOR SELECTED MARKETS (US$, 2007-2011)

Revenue Per User is on the decline across the continent due to numerous factors including for example price competition, exchange rate fluctuations and lower purchasing power of mobile subscribers.

Fighting for the share of a consumers spend for mobile services has become increasingly more challenging.

Value Added Services amongst other things will help to stimulate an increase in ARPU

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COMPARISON OF THE COST OF MOBILE SERVICES FROM SELECTED AFRICAN COUNTRIES AND SELECTED OECD COUNTRIES (US$ PPP)

SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011 (PPP = Purchasing Power Parity) (OECD = Organisation for Economic Co-operation and Development)

The Cost of Mobile Services across Africa given the purchasing power of subscribers is still extremely high compared to other global markets

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TOTAL MOBILE REVENUES BY SERVICE FOR SELECTED COUNTRIES (US$ BILLION, 2010)

SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

Across Africa, voice services dominate mobile usage and operator revenues. South African and Nigerian voice services represented 85% and 93% of

operator revenues respectively in 2010.

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MOBILE AND FIXED INTERNET ACROSS AFRICA

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GLOBAL MOBILE DATA STATISTICS

By 2015, Nokia Siemens projects that mobile users will use this much of their mobile data on “mobile web/other data”.

21.1 %

The amount of mobile data traffic generated by the top 1% of mobile data subscribers.

400 PB (petabyte)

The amount of mobile data traffic per month in the second quarter of 2011.

20 %

1.2 BILLION

The number of active mobile broadband subscriptions worldwide in 2011.

Source: http://royal.pingdom.com/2011/12/07/the-mobile-web-in-numbers/

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GLOBAL MOBILE WEB BROWSING

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GLOBAL MOBILE WEB BROWSING

85 % The percentage of handsets shipped globally in 2011 that will include some form of web browser

60 The number of different types and versions of mobile web browsers in use on mobile handsets.

6,500 Estimate of the number of distinct web-capable mobile device models out there.

3 The position of web browsing, behind messaging and apps, in a comparison of share of active smartphone usage.

11.7% The percentage of web users in China that exclusively use a mobile device to access the web.

140 MILLION Number of people that used the Opera Mini browser in October 2011.

86.2 BILLION Number of pages served By Opera Mini

12,7 PETABYTES The amount of operator data that was compressed for Opera Mini users.

6.95 % Mobile’s share of global web browsing stats in November 2011.

2013 Gartner predicted that the mobile web will be bigger than the desktop web by then.

97.17 % Google’s share of all mobile search in November 2011.

Source: http://royal.pingdom.com/2011/12/07/the-mobile-web-in-numbers/

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FIXED (WIRED)-BROADBAND SUBSCRIPTIONS PER 100 INHABITANTS, 2011*

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FIXED (WIRED)-BROADBAND SUBSCRIPTIONS PER 100 INHABITANTS 2007-2011*

Source: ITU Statistics http://www.itu.int/ict/statistics

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ACTIVE MOBILE-BROADBAND SUBSCRIPTIONS PER 100 INHABITANTS 2007-2011*

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ACTIVE MOBILE-BROADBAND SUBSCRIPTIONS PER 100 INHABITANTS 2007-2011*

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SNAPSHOT FROM MARCH 2011 MOBILE VS INTERNET USAGE IN AFRICA

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Source: Mary Meeker – Internet Trends Presentation – 18 October 2011

35% Y/Y GLOBAL MOBILE 3G SUBSCRIBER GROWTH TO 936MM (17% OF ALL MOBILE SUBSCRIBERS), Q2:11

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2G AND 3G NETWORK PENETRATION IN THE TOP 25 AFRICAN COUNTRIES (Q2, 2011)

SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

The diagram above highlights the extent to which the mobile industry has invested in Africa, 8 countries in the Top 25 have deployed extensive GSM networks such that over 90% of the population have mobile coverage. 3G services currently cover 52% of the population in South Africa and are expected to reach 85% of the population by 2013.

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INCREASING UNDERSEA CABLE INFRUSTRATURE “PROVIDING CONNECTIVITY FOR AFRICA”

THE CHALLENGE

ENSURING THE CAPACITY FROM THE UNDERSEA

CABLES FINDS ITS WAY TO THE AVERAGE MOBILE

INTERNET USER

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Internet Access in SA 2010, World Wide Worx

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AFRICA, MOBILE AND FIXED BROADBAND CONNECTIONS (2010-2016)

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ESTIMATED FIXED AND MOBILE BROADBAND PENETRATION IN THE TOP 25 AFRICAN MOBILE COUNTRIES (%)

SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

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THE GROWTH OF MOBILE DATA USAGE BY AFRICAN MOBILE YOUTH

According the Mobile Youth 2010 Report South Africa has 27 Million mobile youth owners $1.3 Billion will be spent on data usage by 2012

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HANDSETS AND DEVICE USAGE ACROSS AFRICA

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"Feature Phones still dominate African Ecosystem, but with the proliferation of low cost Chinese Smartphones like sub $50 Android devices entering the market at a rapid rate, we will see more African subscriber getting online and taking part in the global economy. This means more m-commerce and more m-advertising. These devices are Africa's first rich media connected devices which will be used to drive product sales, cost savings, communications and entertainment for SME's in Africa”

Brett St.Clair

Head of Mobile, Google SA

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GLOBAL SMARTPHONE STATS

5.9 BILLION

13 %

The estimated number of mobile subscriptions worldwide in 2011.

The smartphone share of all mobile handsets in use worldwide.

78 % The % of worldwide mobile data traffic that is consumed by smartphones.

1.6 BILLION Number of mobile devices sold to end users in 2010, an increase of almost 32% compared to the year before

19 % The percentage of worldwide mobile devices sold that were smartphones

472 MILLION Number of smartphones estimated to be sold worldwide in 2011.

982 MILLION Estimated number of smartphones to be sold in 2015.

50 MILLION The number of people worldwide who have a mobile phone but that do not have electricity at home. In other words, mobile access has further reach than electricity.

Source: http://royal.pingdom.com/2011/12/07/the-mobile-web-in-numbers/

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Infograph by: @Ivanisawesome http://afrographique.tumblr.com

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RESEARCH AND SURVEY DATA

http://www.ourmobileplanet.com/

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www.mobileinsights.co.za

SOUTH AFRICAN INFOGRAPH MOBILE USAGE SURVEY

RESEARCH AND SURVEY DATA

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Source: http://www.ibm.com/smarterplanet/global/share/19jan2012/mobile_africa/ Date: Jan 2011

AFRICA’S POWER MOBILE USERS FEATURE PHONE USER vs SMARTPHONE USER

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SMARTPHONE CONNECTIONS AS PERCENTAGE OF MOBILE CONNECTIONS IN SELECTED AFRICAN COUNTRIES (2009-2014)

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THE FUTURE COST OF HANDSETS AVERAGE SELLING PRICE (ASP) AND MINIMUM SELLING

PRICE (MSP) FOR HANDSETS BY FEATURE SET 2009-2015

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HUAWEI IDEOS – ANDROID SMARTPHONE FOR AFRICA

HUAWEI SMARTPHONE ANDROID 2.2 (FROYO) OS FULL TOUCH SCREEN 200,000 HANDSETS SHIPPED 2,000 ACTIVATIONS PER DAY

“ANDROID OS IS THE FASTING GROWING OS PLATFORM ON THE INMOBI MOBILE ADVERTISING NETWORK IN KENYA (MARCH 2011)”

SUBSIDIZED COST: KS 8,499 or $95.00

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HUAWEI IDEOS – ANDROID SMARTPHONE FOR AFRICA

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TIGO GHANA – FACEBOOK PHONE BY MI-FONE

PHONE FEATURES INCLUDE: Camera Qwerty keypad Email access Fm radio Memory Card slot Java Big 2inch screen 64 Midi Ringtone / MP3 PACKAGE INCLUDE: 2Ghc airtime and 1GB of data for 30 days.

RETAIL PRIZE: Ghc49.99 (± US$ 32)

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MI-FONE, A PHONE FOR AFRICA!

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VODACOM SA HANDSETS (SEPT ‘2011) IPHONE, BLACKBERRY AND ANDROID DEVICES ON THE NETWORK

Source: Mybroadband http://mybroadband.co.za/news/cellular/39797-smartphone-war-latest-vodacom-stats.html

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THE IMPACT OF OPERA MINI BROWSER IN AFRICA

THE STATE OF THE MOBILE WEB REPORTS JUNE 2011

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• The top 10 countries using the Opera Mini browser in this region are Nigeria, South Africa, Kenya, Ghana, Sudan,

Zimbabwe, Tanzania, Ethiopia, Zambia and Morocco.

• Some numbers:

• From June 2010 to June 2011, page views in the top 10 countries of Africa increased by 187%, unique users

increased by 184% and data transferred increased by 199%.

• Growth rates in Africa: Zimbabwe and Morocco lead the top 10 countries of the region in terms of page view

growth (4964.8 % and 1598.4 %, respectively).

• Zimbabwe and Ethiopia lead the top 10 countries of the region in growth of unique users (4483.3 % and 989.5

%, respectively).

• Zimbabwe and Morocco lead the top 10 countries of the region in growth of data transferred (3449.7 % and

1385.9 %, respectively).

• Zimbabwe leads the top 10 countries of the region in page views per user, with each user browsing 713 pages

on average each month.

• Among the countries of Africa, the most popular sites include Facebook, Google, YouTube, Yahoo and Wikipedia.

• We looked at the top 10 handsets used in each of the top 10 African countries. Out of the 100 total handsets listed, 89

of them were Nokia, 7 of them were Samsung, 1 was a Sony Ericsson, 1 was an Alcatel, 1 was an Apple and 1 was an

LG.

OPERA MINI AFRICA SNAPSHOT SPOTLIGHT ON AFRICA

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OPERA MINI AFRICA SNAPSHOT TOP VIEWED SITES VIA OPERA MINI BROWSER

SOURCE: OPERA MINI STATE OF THE MOBILE WEB REPORT | WEBSITE: http://www.opera.com/smw/ DATE: JUNE 2011

RANK WAP SITE

COUNTRY RANKING

NIGERIA SOUTH AFRICA

EGYPT KENYA GHANA SUDAN ZIMBABWE TANZANIA ETHIOPIA ZAMBIA MOROCCO

1 facebook.com 1 1 2 1 1 2 1 1 2 1 2

2 google.com 2 2 1 2 2 1 2 2 1 2 1

3 youtube.com 10 5 3 4 5 3 4 5 4 6 3

4 wikipedia.org 7 4 10 3 4 - 3 4 6 4 8

5 yahoo.com 3 - - 5 3 - 5 3 3 5 -

6 my.opera.com 8 7 9 10 8 6 7 8 7 7 7

7 bbc.co.uk 5 - - - - 5 6 6 5 3 -

8 waptrick.com - - - 7 6 - - 7 - 8 -

9 twitter.com - 8 - 8 - - 9 10 - 9 -

10 dictionary.com - 9 - 9 10 - - 9 10 10 -

11 goal.com 6 - - - 7 - - - - - -

12 live.com - - - - - 9 - - - - 4

13 getjar.com - - - - - 7 - - 8 - -

14 mxit.com - 3 - - - - - - - - -

15 e-okul.meb.gov.tr - - 4 - - - - - - - -

16 tubidy.mobi - - - - - 4 - - - - -

17 vanguardngr.com 4 - - - - - - - - - -

18 kooora.com - - - - - - - - - - 5

19 milliyet.com.tr - - 5 - - - - - - - -

20 bing.com - - 6 - - - - - - - -

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RANK HANDSETS

COUNTRY RANKING

NIGERIA SOUTH AFRICA

EGYPT KENYA GHANA SUDAN ZIMBABWE TANZANIA ETHIOPIA ZAMBIA MOROCCO

1 Nokia 5130 XpressMusic 2 1 2 2 4 2 1 1 2 3 2

2 Nokia 2700c 1 2 3 3 1 1 2 2 1 4 6

3 Nokia 2330c 8 3 7 1 2 5 3 3 6 2

4 Nokia 2690 4 7 8 4 7 7 4 4 8

5 Nokia C3 9 4 1 7 6 9 10 10 1

6 Nokia 6300 6 8 4 8 6 3 6 10

7 Nokia 2730c 4 6 6 5 7

8 Samsung SGH-E250 10 4 1

9 Samsung SGH-E250i 5 5 7

10 Nokia 3110c 5 8 5

11 Nokia X2 9 5 4

12 Nokia 6303i Classic 9 7 3

13 Nokia N70 3 8 10 9

14 Nokia N72 7 3

15 Nokia 2680s 9 7 9

16 Nokia X2.01 3

17 Nokia 1680c 5

18 Nokia 2630 5

19 Nokia N73 8 8

20 Sony Ericsson K750i 5

OPERA MINI AFRICA SNAPSHOT TOP HANDSETS USING THE OPERA MINI BROWSER

SOURCE: OPERA MINI STATE OF THE MOBILE WEB REPORT | WEBSITE: http://www.opera.com/smw/ DATE: JUNE 2011

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SEARCH SOCIAL MEDIA

NEWS AND UTILITY

THE MOBILE WEB SITES THAT MOBILE OPERATORS SHOULD ALIGN WITH TO

DRIVE MOBILE DATA USAGE

THE MOST POPULAR HANDSETS ACCORDING TO OPERA MINI

OPERA MINI AFRICA SNAPSHOT KEY OBSERVATIONS

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COST EFFECTIVE DATA BROWSING VIA OPERA MINI BROWSER

Through its data compression technology, browsing via the Opera Mini browser allows for a cost effective browsing experience for a mobile subscriber. In price sensitive markets across Africa, the Opera Mini Browser is providing users with a great user experience as well as data cost savings.

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Page Views

SOCIAL MEDIA VIA OPERA MINI

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Facebook Intern Paul Butler was interested in the locations of friendships, so he decided to create a visualization of Facebook connections around the globe.

KEY OBSERVATIONS FOR AFRICA:

TRAFFIC CENTERED AROUND MAJOR CITIES

MAJOR TRAFFIC COUNTRIES INCLUDED SOUTH AFRICA KENYA, NIGERIA, GHANA AND EGYPT

NEXT STEP: INCREASE TRAFFIC TO ZAMBIA, ZIMBABWE,

ANGOLA, GABON, SENEGAL

Source: Facebook | Website: http://tinyurl.com/facebookdatamap

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THE FORECASTS ON THE GROWTH OF MOBILE SERVICES IN AFRICA

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

GLOBAL MOBILE CONNECTIONS BY REGION (Millions)

“By Sept 2011, Africa contributed 11% (620 Mil) of all global mobile connections, growing to a projected

12% (910 Million) in 2015”

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

TOTAL AFRICAN MOBILE CONNECTIONS AND PENETRATION RATE FORECASTS (MILLION, % PENETRATION)

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MESSAGING USERS IN AFRICA (2009-2014)

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SOURCE: GSMA AFRICA MOBILE OBSERVATORY REPORT, SEPT 2011

MOBILE BROABAND CONNECTIONS IN AFRICA (FORECASTS)

With the growth predicted for Mobile Broadband, Cisco estimates that by 2015, sub-Saharan Africa will have more people

with mobile access than with access to electricity at home.

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Source: Informa Telecoms and Media

FACT: MOBILE SUBSCRIBERS IN AFRICA ARE BECOMING MORE AWARE OF WHAT THEIR MOBILE DEVICES CAN DO! AS MORE VALUE ADDED SERVICES (SMS, MMS, WAP ETC) BECOME AVAILABLE, SUBSCRIBERS WILL ENGAGE & INCREASE

MOBILE VALUE ADDED SERVICES REVENUE IN AFRICA 2008 - 2014

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MOBILE ADVERTISING ACROSS AFRICA

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INMOBI MOBILE ADVERTISING NETWORK

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BUZZ CITY MOBILE ADVERTISING NETWORK

Source: The Buzz City Report (October 2011) http://www.buzzcity.com/l/reports/The-BuzzCity-Report-Oct2011.pdf

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GOOGLE ADMOB MOBILE ADVERTISING NETWORK

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INFO SNAPSHOTS AND CASE STUDIES FROM TERRITORIES

ACROSS AFRICA

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Source: http://www.ihub.co.ke/blog/2011/09/mobile-broadband-in-kenya/

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Source: http://www.ihub.co.ke/blog/2012/01/mobile-technology-in-tanzania/

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Source: http://www.ihub.co.ke/blog/2011/10/mobile-technology-in-uganda/

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SOUTH AFRICAN BROADBAND MARKET

http://mybroadband.co.za/news/broadband/38927-sas-broadband-battle-latest-figures.html

4.1 million smartphones (Sept ’11) VODACOM

MTN

CELL C

8TA

2.6 Million smartphones (June ’11)

Unconfirmed (Estimated: 400,000)

Unconfirmed (Estimated: < 5,000)

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Internet Access in SA 2010, World Wide Worx

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Source: Mobility 2011, World Wide Worx

CURRENT AND INTENDED USAGE OF SOCIAL MEDIA AND INTERNET ON THE PHONE IN SOUTH AFRICA

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AFRICA - MOBILE GOVERNMENT READINESS INDEX

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AFRICA - EXAMPLES OF MOBILE GOVERNMENT PROJECTS

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AFRICA’S BEST MOBILE MONEY CASE STUDY

PRODUCT PENETRATION

• 82.4 % of Safaricoms Customer Base

• M-PESA Customer Case: 14,9 million

• Over 32,000 agents

REVENUE GENERATION

• M-PESA Revenue up 49.3% to Kshs.7.9 bn

• Kshs. 314 bn ($3.15bn) worth of transactions

moved between April-September 2011

Source: Safaricom Half Year Results, Nov 2011 http://tinyurl.com/cvxbfwb

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AFRICA’S MOST POPULAR IM CHAT PLATFORM

OVERVIEW: MXit offers free mobile internet based instant messaging, allowing users to send and receive one-on-one text and multimedia messages to and from other users and talk in chat rooms.

128

44 MILLION

22 BILLION

45 HOURS

PLATFORMS

50,000

MXit operates across 128 countries (Including: Malaysia, Kenya, India, Indonesia, UK, US, Nigeria, Brazil, France, Germany,

MXit’s Global User Base

MXit users currently send 22-billion messages a month

An average MXit user spends 45 hours month on the service

MXit is available on the major Mobile platforms: Android, iOS, Java ME, BlackBerry OS and Windows Mobile

Daily Activations: Estimated 45k to 50k new registered user accounts per day

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By 2013, mobile phones will overtake PC’s as the most common

web access device worldwide (Source: Merrill Lynch)

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For further information and insights into Mobile Telecoms in Africa, feel free to make contact:

JONATHAN HOEHLER

EMAIL: [email protected]

TWITTER: @JonHoehler

SKYPE: jonhoehler

MOBILE: +27 (0) 83 712 2534

BLOG: jonhoehler.posterous.com

ANDREW McHENRY

EMAIL: [email protected]

TWITTER: @andrewmchenry

SKYPE: andrewmchenry1

MOBILE: +27 (0) 78 613 7090

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" 'Hoehler and McHenry' are shaping up to be a legendary team. They are among a rare breed of observers who not only have an implicit understanding of the key numbers, but are able to give them a context that makes them meaningful.”

Arthur Goldstuck

MD, World Wide Worx

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"Jonathan Hoehler and Andrew McHenry are two of the worlds

leading African Mobile and Telecoms experts who have joined

forces to resolve a major problem with the Mobile Research in

Africa which is very fragmented and has varying degrees of

accuracy. They have done a phenomenal job to consolidate the

information and provide real insight into worlds fastest

growing Mobile sector”

Brett St.Clair

Head of Mobile, Google SA

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Former Head of Mobile and Content for GARMAP, with the overall responsibility of running the Garmap Mobile and Content departments. Having started in March 2008 we have grown our Garmap for Mobile Navigation install base from only a few thousand to 150+ in South Africa only. Prior to joining Garmap I was employed for five years working at Leaf International Communication, having spent two years heading up Leaf’s African expansion, selling to mobile operators and partners in sub-Saharan African. Before I took on the African expansion role I was Leaf’s executive account manager on the MTN account looking after the http://www.mtnloaded.co.za portal, at time it was the largest mobile portal in Africa with over one million subscribers. With twenty years experience in the information technology industry, spanning software, hardware and custom application development. Having held positions of sales and marketing manager for Packard Bell NEC South Africa, and spearheaded the launching of NEC Direct. Before joining NEC I was a founding member of Aqua Online with the position marketing manager. With overall experience within the ITC industry including international expertise, having spent nine years in North America and two years in Europe holding various management positions in channel sales, corporate sales, telesales and product management.

Andrew McHENRY

Jonathan Hoehler With almost 8 years of experience in the mobile telecoms space in Africa with Starfish Mobile International Inc, Jonathan has been exposed to many the possibilities that are present in mobile telecoms in Africa. Having started at Starfish Mobile in early 2004, Jonathan has moved from the mobile content department through to the position of Head of Operations in 2006. In 2008, Jonathan was appointed to the position of Chief Technical officer of Starfish Mobile International. Now in 2011 with the added role of business development at Starfish Mobile, Jonathan is exploring new business and revenue generating opportunities across the African Continent. With in-country experience in Nigeria, Ghana, Uganda, Tanzania, and Congo DRC to name but a few, Jonathan and the Starfish Mobile team are uniquely positioned to execute the opportunities in the continent that range from traditional SMS Mobile Marketing and Content Services through to mobile portals, applications, ecosystems, and advertising.

PRESENTATION COLLABORATORS