The Namibian telecommunications sector saw an investment of N$243 million towards upgrading infrastructure in the second quarter of 2024, recent data by the Communications Regulatory Authority (CRAN) shows.
The capital expenditure focused on upgrading both physical infrastructure and software capabilities, aimed at enhancing the overall service quality and expanding network coverage.
“In the second quarter of 2024, capital expenditure in the telecommunications sector totalled around N$243 million. This investment focused on upgrading both physical infrastructure and software capabilities,” the report said.
The report added that the telecommunications sector maintained stability in data services, with revenue remaining at N$592 million.
Voice revenue saw a rise to N$170 million, while SMS revenue dipped to N$31 million during the quarter under review.
“In the second quarter of 2024, data revenue exhibited stability, maintaining its previous level. In contrast, SMS and voice revenues continued to demonstrate their seasonal patterns, with voice revenue experiencing an upward trajectory while SMS revenue declined,” the report read.
Moreover, on the broadcasting front, the sector faced a 26% decline in investment, totalling N$1.44 million.
The sharpest drop was in property and plant infrastructure, which fell by 45%. However, terrestrial transmission infrastructure saw a 1,142% surge, suggesting renewed interest in improving terrestrial services.
Meanwhile, the same sector (excluding NBC) experienced a 2% decrease in overall revenue, bringing the total down to N$223 million.
However, advertising revenue saw a 2% increase, amounting to N$20.6 million, and continued to represent 9% of the sector’s total revenue, a figure that has remained consistent over recent quarters.
“Pay-TV subscriptions experienced an overall 6% decline in the second quarter of 2024. This trend remains volatile, influenced by broader shifts in consumer behaviour and market dynamics as more audiences move towards alternative digital streaming platforms,” it read.
Additionally, mobile traffic experienced a 3% drop in outgoing minutes, primarily due to a 14% decline in TN Mobile’s on-net minutes.
However, off-net mobile minutes saw a substantial 17% increase, indicating more calls between different networks.
SMS traffic fell by 6%, reversing gains made in the previous quarter, while mobile data usage increased by 2%, driven by a 13% rise in Paratus Telecommunications’ mobile data traffic.
Fixed-line services continued to decline, with outgoing minutes dropping 8%, and mobile-to-fixed-line calls plunging by 29%. Fixed-line usage is being steadily replaced by mobile and internet-based solutions. International calls, however, showed a notable 13% increase, reflecting continued demand for global connectivity.
Subscriber behaviour also shifted in Q2 2024, with active SIM cards decreasing by 5% to 2.474 million, largely due to a 6% drop in prepaid SIMs following the enforcement of registration requirements.
Mobile broadband usage via mobile phones dropped by 11%, while dongles and routers saw a 17% increase, indicating a growing preference for alternative internet access solutions.
