Executive Summary

Africa remains the least connected continent in the world both from the view of the total bandwidth feeding the entire continent and from an Internet penetration perspective. While Internet uptake increased from less than 500,000 in 1995 to over 12 million in early-2004, its use remains comparatively minuscule due to the lack of telecoms infrastructures in many regions and high prices. Growth is slower than world averages and is less than half the growth rate of mobile. By early-2004, overall Internet penetration in Africa was around 1.5%, with the highest penetration recorded in Réunion (over 20%) followed by the Seychelles (around 14%). South Africa and Tunisia were next in line with between 6 and 7%. This compares with over 50% penetration in developed countries. New operators with fresh capital are needed to provide broadband connectivity to and within the continent and to serve what is becoming a very attractive telecom market opportunity for both equipment and service providers. Several African countries have experienced triple-digit growth rates in Internet usage in 2003 and 2004, including Cote d’Ivoire, Morocco, Senegal, Sudan and Tanzania.

While Africa is still struggling to ensure universal availability of basic voice services, the implementation of broadband networks is still very limited but has picked up momentum during 2003 and 2004.

Most fixed networks in sub-Saharan Africa have been digitised and are now undergoing modernisation. Next-generation networks will provide more bandwidth and will be more efficient and cheaper to run. New network technology will allow incumbent operators to introduce inexpensive broadband delivery mechanisms such as Asymmetrical Digital Subscriber Line (ADSL), which will be a boon to smaller businesses, most of which are currently having to cope with a dial-up line for their data communication.

The number of African countries offering commercial DSL services has tripled from 5 to 15 during 2004. For the year ending March 2004, Telkom South Africa has announced an increase of 661% in the number of ADSL subscribers, albeit from a small base of 2,669, to 20,313.

However, ADSL rollout is typically confined to high density areas and the technical constraints of the technology mean a large proportion of African businesses may not be able to get the service. Similarly, cable modem service is only available where there is a modern cable TV network, usually only in urban areas. In Africa, there are very few cable TV networks.

1. EXECUTIVE SUMMARY
1.1 Internet markets: Virtually untapped
1.1.1 Limited access
1.1.2 International connectivity
1.1.3 Africa’s ISP market
2. OVERVIEW OF THE BROADBAND AND INTERNET MARKETS
2.1 Overview of Africa’s Internet market
2.1.1 Internet statistics
2.1.2 African Internet developments
2.1.3 ISP market
2.2 Overview of Africa’s Broadband market
2.2.1 An emerging market
2.2.2 Wireless broadband
2.3 Overview of Africa’s VoIP telephony
2.3.1 Market overview
2.3.2 Brief overview of selected VoIP service providers in Africa
2.3.3 Benefits of VoIP
2.3.4 VoIP regulatory restrictions and liberalisation
2.3.5 VoIP telephony in various African countries
3. ALGERIA
3.1 Overview of the Internet in Algeria
3.1.1 Cyber-city project
3.1.2 Algeria’s ISP market
3.1.3 VoIP
3.1.4 E-services
3.2 Overview of Algeria’s broadband market
3.2.1 ADSL
4. ANGOLA
4.1 Overview of the Internet in Angola
4.1.1 Initial development
4.1.2 Overview and statistics
4.1.3 Angola’s ISP market
4.1.4 Internet access locations
5. BENIN
5.1 Overview of the Internet in Benin
5.1.1 Benin Internet Society
5.1.2 Internet access locations
5.1.3 Benin’s ISP market
6. BOTSWANA
6.1 Overview of the Internet in Botswana
6.1.1 Botswana’s ISP market
6.2 Overview of VoIP telephony in Botswana
6.3 Overview of Convergence in Botswana
6.3.1 E-commerce
6.3.2 E-government
7. BURKINO FASO
7.1 Overview of the Internet in Burkina Faso
7.1.1 Internet projects
7.1.2 Burkina Faso’s ISP market
8. CAMEROON
8.1 Overview of the Internet in Cameroon
8.1.1 Internet access locations
8.1.2 Cameroon’s ISP market
9. CHAD
9.1 Overview of the Internet in Chad
9.2 VoIP telephony
10. COTE D’IVOIRE
10.1 Overview of the Internet in Côte d’Ivoire
10.1.1 USAID Leland project
10.1.2 Internet access locations
10.1.3 ISP market
10.1.4 Major ISPs
10.1.5 Internet via satellite
11. DEMOCRATIC REPUBLIC OF CONGO
11.1 Overview of the Internet in DRC
11.1.1 Internet access locations
11.1.2 ISP market
12. EGYPT
12.1 Overview of the Internet in Egypt
12.1.1 Internet statistics
12.1.2 Deterrents to Internet growth
12.1.3 Free Internet project
12.1.4 Affordable Personal Computer (APC) program
12.1.5 Internet gateways
12.1.6 Cairo Regional Internet Exchange (CRIX)
12.1.7 Internet access locations
12.1.8 Egypt’s ISP Market
12.2 Overview of the Broadband market in Egypt
12.2.1 Broadband initiative
12.2.2 xDSL
12.2.3 Wireless broadband
12.3 Overview of Convergence in Egypt
12.3.1 E-commerce
12.3.2 Smart Village
12.3.3 Technology incubators
12.3.4 Information Highway Project
12.3.5 E-government
13. ETHIOPIA
13.1 Overview of Ethiopia’s Internet market
13.1.1 Internet statistics
13.1.2 National connectivity
13.1.3 Internet regulatory issues
13.1.4 Internet access locations
13.1.5 ISP market
13.1.6 Direcway broadband satellite network
14. GAMBIA
14.1 Overview of the Internet in Gambia
14.1.1 Internet statistics
14.1.2 Internet connectivity
14.1.3 Internet access locations
14.1.4 Gambia’s ISP market
14.2 Overview of VoIP telephony in Gambia
15. GHANA
15.1 Overview of the Internet in Ghana
15.1.1 Internet statistics
15.1.2 Internet regulations
15.1.3 Internet access locations
15.1.4 Ghana’s ISP market
15.2 Overview of the Broadband Market in Ghana
15.2.1 Powerline Communication (PLC)
15.3 Overview of VoIP telephony in Ghana
16. KENYA
16.1 Overview of the Internet in Kenya
16.1.1 Internet statistics
16.1.2 Internet access locations
16.1.3 Internet backbone
16.1.4 Kenya Internet exchange point
16.1.5 Kenya Network Information Centre (KENIC)
16.1.6 Kenya’s ISP market
16.2 Broadband in Kenya
16.2.1 ADSL
16.2.2 Wireless Internet
16.3 Overview of VoIP telephony in Kenya
17. LESOTHO
17.1 Overview of the Internet in Lesotho
17.1.1 National Internet hub
17.1.2 Lesotho’s ISP market
18. LIBYA
18.1 Overview of the Internet in Libya
18.2 IP telephony
19. MADAGASCAR
19.1 Overview of the Internet in Madagascar
19.1.1 Internet access locations
19.1.2 Madagascar’s ISP market
20. MALAWI
20.1 Overview of the Internet in Malawi
20.1.1 Internet statistics
20.1.2 Malawi’s ISP market
21. MAURITIUS
21.1 Overview of the Internet in Mauritius
21.1.1 Internet access locations
21.1.2 ISP market
21.2 Overview of the Boadband market in Mauritius
21.2.1 Overview
21.2.2 ADSL
21.2.3 NetTV
21.2.4 Wireless broadband
21.3 Overview of VoIP telephony in Mauritius
21.4 Overview of Convergence in Mauritius
21.4.1 E-commerce
21.4.2 IT incentives
21.4.3 Cyber-City Project
21.4.4 E-government project
22. MOROCCO
22.1 Overview of the Internet in Morocco
22.1.1 Internet statistics
22.1.2 MARWAN network
22.1.3 Internet connectivity
22.1.4 Morocco’s ISP market
22.1.5 VoIP telephony
22.2 Overview of the Broadband market in Morocco
22.2.1 ADSL
22.2.2 Wireless broadband
22.3 Overview of Convergence in Morocco
22.3.1 E-commerce
22.3.2 Tele-education
23. MOZAMBIQUE
23.1 Overview of the Internet in Mozambique
23.1.1 Internet statistics
23.1.2 Internet connectivity
23.1.3 Internet access locations
23.1.4 Mozambique’s ISP market
24. NAMIBIA
24.1 Overview of the Internet in Namibia
24.1.1 Internet connectivity
24.1.2 Namibia’s ISP market
24.1.3 Overview of selected ISPs
24.1.4 SchoolNet Namibia
24.2 Overview of the Broadband in Namibia
24.2.1 Wireless broadband
24.3 Overview of Convergence in namibia
24.3.1 E-services
25. NIGERIA
25.1 Overview of Nigeria’s Internet market
25.1.1 Internet statistics
25.1.2 Access locations
25.1.3 Nigerian Internet Group (NIG)
25.1.4 Nigeria’s ISP market
25.1.5 Selected ISPs
25.2 Overview of the Broadband market in Nigeria
25.2.1 Wireless broadband
25.3 Overview of VoIP telephony in Nigeria
25.4 Overview of Convergence in Nigeria
25.4.1 E-commerce
25.4.2 E-government
26. SENEGAL
26.1 Overview of the Internet in Senegal
26.1.1 Internet statistics
26.1.2 Internet connectivity
26.1.3 World Links for Development (WorLD)
26.1.4 Senegal’s ISP market
26.2 Overview of the Broadband market in Senegal
26.2.1 ADSL
26.2.2 Internet via satellite
26.3 Overview of VoIP telephony in Senegal
27. SOUTH AFRICA
27.1 Overview of the Internet in South Africa
27.1.1 Internet statistics
27.1.2 Internet demographics
27.1.3 Community access projects
27.1.4 Tertiary Education Network
27.1.5 South Africa’s ISP market
27.1.6 Internet access providers
27.2 Overview of the Broadband market in South Africa
27.2.1 Market overview
27.2.2 ADSL
27.2.3 Powerline broadband
27.2.4 Wireless broadband
27.3 Overiew of VoIP telephony in South Africa
27.4 Overview of Convergence in South Africa
27.4.1 E-commerce
27.4.2 E-learning
27.4.3 E-government
28. SUDAN
28.1 Overview of the Internet in Sudan
28.1.1 Sudan Internet Society (SiS)
28.1.2 Sudan’s ISP market
28.2 Overview of the Broadband market in Sudan
28.2.1 Broadband via satellite
29. SWAZILAND
29.1 Overview of the Internet in Swaziland
29.1.1 Barriers to Internet development
29.1.2 Internet initiatives
29.1.3 Internet access locations
29.1.4 E-banking
29.1.5 Swaziland’s ISP market
29.1.6 Swaziland Internet Exchange Point
30. TANZANIA
30.1 Overview of the Internet in Tanzania
30.1.1 Internet access locations
30.1.2 Tanzania’s ISP market
30.2 Overview of VoIP telephony in Tanzania
31. TUNISIA
31.1 Overview of the Internet in Tunisia
31.1.1 Agence Tunisienne d’Internet (ATI)
31.1.2 Internet access locations
31.1.3 Tunisia’s ISP market
31.2 Overview of the Broadband market in Tunisia
31.2.1 DSL by Satellite
32. OVERVIEW OF CONVERGENCE
32.1 E-commerce
33. UGANDA
33.1 Overview of the Internet in Uganda
33.1.1 Freenet
33.1.2 Internet Easy
33.1.3 Uganda Internet Exchange Point (UiXP)
33.1.4 Internet access locations
33.1.5 Internet initiatives
33.1.6 Uganda’s ISP market
33.2 Overview of VoIP telephony in Uganda
33.3 Overview of Convergence in Uganda
33.3.1 E-services
34. ZAMBIA
34.1 Overview of the Internet in Zambia
34.1.1 Internet access locations
34.1.2 Zambia’s ISP market
35. ZIMBABWE
35.1 Overview of the Internet in Zimbabwe
35.1.1 Internet initiatives
35.1.2 Zimbabwe’s ISP market
35.1.3 Overview of selected ISPs
35.2 Overview of VoIP telephony in Zimbabwe
36. GLOSSARY OF ABBREVIATIONS


Exhibit 1 – African PTOs using VoIP
Exhibit 2 – VoIP in Egypt
Exhibit 3 – JokoClubs
Exhibit 4 – Internet for rural communities
Exhibit 5 – Microsoft South Africa Digital Villages
Exhibit 6 – Telkom SA T-Zone
Exhibit 7 – Licensed ISPs in Uganda




Table 1 – Top five African Internet user markets – 2003
Table 2 – Internet users in Africa – 1995 - 2003
Table 3 – Internet host computers – 1995 - 2003
Table 4 - Broadband access amongst Internet households – 2001 - 2004
Table 5 – Internet users – 1996 - 2003
Table 6 – Internet host computers – 1996 - 2003
Table 7 – Internet users – 1997 - 2003
Table 8 – Internet host computers – 1998 - 2003
Table 9 – Internet users – 1997 - 2003
Table 10 – Internet host computers – 1997 - 2003
Table 11 – Internet users – 1998 - 2003
Table 12 – Internet host computers – 1995 - 2003
Table 13 – Internet users – 1996 - 2003
Table 14 – Internet host computers – 1996 - 2003
Table 15 – Internet users – 1997 - 2003
Table 16 – Internet host computers – 1997 - 2003
Table 17 – Internet users – 1998 - 2003
Table 18 – Internet host computers – 1998 - 2003
Table 19 – Internet users – 1996 - 2003
Table 20 – Internet host computers – 1996 - 2003
Table 21 – Internet users – 1996 - 2003
Table 22 – Internet host computers – 1996 - 2002
Table 23 – Internet users – 1995 - 2004
Table 24 – Internet host computers – 1995 - 2003
Table 25 – Internet users – 1996 - 2004
Table 26 – Internet subscribers – 2002 - 2004
Table 27 – Internet host computers – 1996 - 2003
Table 28 – Internet users – 1997 - 2003
Table 29 – Internet host computers – 1998 - 2003
Table 30 – Internet users – 1996 - 2003
Table 31 – Internet host computers – 1996 - 2003
Table 32 – Internet users – 1996 - 2003
Table 33 – Internet host computers – 1996 - 2003
Table 34 – Internet users – 1997 - 2003
Table 35 – Internet host computers – 1998 - 2003
Table 36 – Internet users – 1999 - 2003
Table 37 – Internet host computers – 1998 - 2003
Table 38 – Internet users – 1996 - 2003
Table 39 – Internet host computers – 1999 - 2003
Table 40 – Internet users – 1997 - 2003
Table 41 – Internet host computers – 1999 - 2003
Table 42 – Internet users – 1996 - 2003
Table 43 – Internet host computers – 1996 - 2003
Table 44 – Dial-up Internet subscribers – 2000 - 2003
Table 45 – Internet users – 1997 - 2004
Table 46 – Internet host computers – 1996 - 2003
Table 47 – Internet users – 1996 - 2003
Table 48 – Internet host computers – 1996 - 2003
Table 49 – Internet users – 1996 - 2003
Table 50 – Internet host computers – 1996 - 2003
Table 51 – Internet users – 1996 - 2003
Table 52 – Internet host computers – 1997 - 2003
Table 53 – Internet users – 1996 - 2003
Table 54 – Internet host computers – 1996 - 2003
Table 55 – Internet users – 1995 - 2003
Table 56 – Internet host computers – 1995 - 2003
Table 57 – Internet subscribers (selected ISPs) – June 2004
Table 58 – Internet users – 1997 - 2003
Table 59 – Internet users – 1996 - 2003
Table 60 – Internet host computers – 1998 - 2003
Table 61 – Internet users – 1996 - 2003
Table 62 – Internet host computers – 1996 - 2003
Table 63 – Internet users – 1995 - 2004
Table 64 – Internet host computers – 1996 - 2003
Table 65 – Internet users – 1995 - 2003
Table 66 – Internet host computers – 1997 - 2003
Table 67 – Internet users – 1995 - 2003
Table 68 – Internet host computers – 1996 - 2003
Table 69 – Internet users – 1996 - 2003
Table 70 – Internet host computers – 1996 - 2003