Investments in the Namibian telecommunications sector reached N$267 million during the first quarter of 2024, marking a substantial increase from the N$137 million recorded in the fourth quarter of 2023, data from the Communications Regulatory Authority (CRAN) shows.
The increase in investment reflects the cyclical nature of spending in the telecommunications industry.
Investments tend to fluctuate based on specific infrastructure upgrades and technological advancements required at a given time.
“This increase reflects the sector’s variable investment patterns, which are primarily driven by specific infrastructure and technological requirements at any given time,” the CRAN quarterly statistics report reads.
However, the report also highlights a decrease in revenue from data, SMS and voice calls during the first quarter.
This decline follows a seasonal trend typically observed after the holiday season.
Data revenue dropped to N$592 million during the quarter under review from N$598 million.
SMS revenue fell to N$34 million from N$36 million, and voice revenue decreased to N$148 million from N$171 million.
Meanwhile, as of the end of the first quarter of 2024, Namibia’s broadcasting landscape remained steady, with 37 active licenses. This reflects a minor fluctuation compared to previous quarters.
Community broadcasters saw a slight increase from 13 in Q3 2022 to 14 in subsequent quarters.
Broadcasters revenue (excluding the Namibian Broadcasting Corporation) dipped by 4% to N$227 million, compared to N$236 million at the end of Q4 last year.
The decline in broadcasters’ revenue is likely due to a significant drop to N$20 million in advertisement revenue, compared to N$24 million at the end of Q4 last year.
“Advertisement revenue constituted only 9% of the total revenue for broadcasting services, this underscores the limited contribution of advertising to the sector’s overall financial performance,” the report says.
The report further says pay TV subscriptions, including DSTV and GoTV, saw a surge to 169,888 in the first quarter, driven by a 12% increase in GoTV subscribers and a rise in DSTV subscriptions.
GoTV saw an increase in subscribers to 49,726 up from 44,231 in Q4 while DSTV subscribers increased from 112,440 in Q4 to 120,162 during the period under review.
“In the first quarter of 2024, Pay TV subscriptions rebounded with a 9% increase. This volatility in the subscriptions may be attributed to the broadcasting of major sports events and other attractive offerings,” the report reads.
Furthermore, while the number of occupied postboxes increased by 8% to 49,405 from 45,865, signifying a rise in individual mail usage, private bag occupancy saw a significant decline from 336 out of a total of 883 available to 263.
The overall number of postal establishments remained steady, at 116 out of 139 establishments, with 83% of post offices still serving rural areas.
It is also reported that Namibia’s 4G coverage has jumped significantly, reaching 88% in 2023. This surpasses the National Broadband Policy’s goal of 80% coverage for the population.
“This expansion is attributed to upgrades of existing sites, the erection of new RAN sites, and the fulfillment of coverage obligations as part of the conditions of the allocation of 700 and 800 MHz spectrum by CRAN in 2023,” the report read.
