ABN - International research consultant Ovum has forecasted that mobile broadband (MBB) subscriptions in all nine East African countries will reach 186 million by 2022.
Kenya, Tanzania and Uganda will account for 112 million of those MBB subscriptions by the end of 2022.
Mobile data will be the key growth driver in the East African telecoms marker over the next five years, with growth powered by increased deployment of 3G and 4G LTE data connections, along with increased smartphone penetration due to better affordability.
Ovum predicts there will be 32 million LTE subscriptions in Kenya, Tanzania and Uganda by 2022, while smartphone connections will reach 108 million.
“The East African region has made great progress in broadband connectivity over the last few years, and this has unlocked great potential in digital services segment, including mobile financial services, digital media as well as enterprise services,” said Danson Njue, research analyst for the Middle East and Africa at Ovum.
“However, the growth in broadband connectivity has also seen a rise in OTT services thereby increasing chances of data revenue cannibalization for data service providers in the region.”