Nigeria is set to become one of the African continent`s major mobile markets, with its subscriber base expected to reach over 23 million by 2007, according to a new report published by BMI-TechKnowledge.
The report points out that the country`s gross mobile subscriber base grew from 2.8 million in 2003 to 8.6 million by the end of 2004.
"At the end of 2004, the Nigerian mobile market had achieved less than a third of its ultimate and yet almost untapped potential," says Richard Hurst, analyst and author of the report.
"The GSM mobile market is expected to continue an aggressive growth path with a gross subscriber base of 32 million by the end of 2009 being regarded as reasonable, if not conservative."
The Nigerian Telecommunications Market 2005 report also suggests that both the fixed-line and fixed wireless sector of the market is expected to maintain a steady growth.
This follows the arrival of several fixed wireless access operators, opening up this market to competition, while the second national operator, Globacom, is now beginning to stimulate competition in the fixed-line market.
Meanwhile, MTN, which enjoys a 43% share of the Nigerian market, has re-asserted its commitment to expanding in Africa, although it has still to decide whether it will proceed with its action challenging a Kuwaiti company over its recent purchase of Celtel.
The company says it expects to face fierce competition in Uganda - where it holds a 66% market share - when the market is deregulated in July.
MTN says the deregulation of the Ugandan telecoms industry will help it to explore new opportunities, and its target is to break the million mark in terms of subscribers by March next year.
The operator has a subscriber base of 713 000, far outstripping its rival, Celtel International of the Netherlands, which has around 150 000 customers.
"We do have a shortage of corporate clients at present, but have put in place a strategy to woo them, by deploying GPRS, focusing on the all-important small business sector and consolidating our Internet service provider offering," says MTN Uganda`s COO, Serame Taukobong.
Related stories:
Africa`s mobile sector growing fast
The African technology evolution
Share