Local mobile network operator (MNO), NetOne, is accelerating its network expansion drive to keep pace with the surging demand for high-speed data services. The move is underpinned by the growing reliance on cloud-based applications and video conferencing, which has seen a significant shift away from traditional voice calls.
In 2023, NetOne injected a substantial US$17 million into capital expenditure (capex) to bolster network coverage and capacity, primarily focusing on internet and data services. This investment saw upgrades to existing infrastructure, including the acquisition of core network equipment like routers and switches. Additionally, the company deployed new radio network controllers and expanded its 3G network footprint.
NetOne CEO, Raphael Mushanawani, outlined the company’s ambitious growth targets, aiming for a US$230 million revenue mark by 2025 and a 35% increase in profitability. The recent launch of a new packet core network has already yielded impressive results, doubling billed data traffic. Furthermore, the mobile money service, One Money, has rebounded from a challenging 2022 to deliver a remarkable 414% growth in 2023.
To enhance network coverage, particularly in border areas, NetOne plans to install over 340 new base stations supporting 3G, 4G, and 5G technologies. This initiative aligns with the broader industry trend as indicated by the Postal and Telecommunications Regulatory Authority of Zimbabwe (Potraz). MNOs’ capital expenditure surged by 39.14% to $162.96 billion in the fourth quarter of 2023, driven by investments in LTE, 5G, and fiber expansion.
Potraz anticipates continued investment in the telecommunications sector, fueled by increasing demand for ICT services. This growth is expected to be sustained by organizations’ ongoing digital transformation efforts, which will create new opportunities for innovative solutions.
