Data usage on Vodacom South Africa's network grew 79% in the past year‚ driven by lower handset prices and data costs.As a result of the demand Vodacom is investing in increasing network capacity‚ providing innovative solutions and improving customer service. The group plans to increase its data coverage on its 3G network from 88,9% to 100% in South Africa in near future.
According to Frost & Sullivan the growing demand for data services, triggered by the proliferation of smartphones with innovative‚ value-added services and customer demand for converged voice and data services‚ is driving the broadband market in southern Africa.
Vodacom reported a 29% rise in data revenue to R6.1bn for the six months to September driven by bundle sales and integrated offers. In South Africa‚ Vodacom has 15-million active data customers up 13.4% from 2012.
"Mobile data is one of the biggest opportunities facing us‚ with smartphone and tablet penetration still at low levels in all our markets‚" says Vodacom's chief executive Shameel Joosub.
Research by Informa Telecoms and Media found that smartphone users in South Africa spend on average US$31 per month on their mobile phone. Of the 12 countries surveyed‚ South Africans are the fourth biggest spenders‚ behind consumers in the US‚ Saudi Arabia and the UK.
Mobile data usage rising sharply
Africa's mobile data business is worth US$8.5bn a year and will rise to more than US$23bn in 2018‚ according to the report.
"It is consumer demand that is driving this growth‚" says principal analyst at Informa Telecoms and Media‚ Nick Jotischky. "But retail prices are still too high‚ smartphones are too expensive and there is a lack of investment in connecting parts of rural Africa. These are barriers restraining greater consumer demand."
Vodacom has been providing finance for consumers who cannot afford to buy smartphones upfront. The company says in South Africa‚ handset financing underpins its strategy of putting data capable devices into customers' hands.
source : bizcommunity.com
According to Frost & Sullivan the growing demand for data services, triggered by the proliferation of smartphones with innovative‚ value-added services and customer demand for converged voice and data services‚ is driving the broadband market in southern Africa.
Vodacom reported a 29% rise in data revenue to R6.1bn for the six months to September driven by bundle sales and integrated offers. In South Africa‚ Vodacom has 15-million active data customers up 13.4% from 2012.
"Mobile data is one of the biggest opportunities facing us‚ with smartphone and tablet penetration still at low levels in all our markets‚" says Vodacom's chief executive Shameel Joosub.
Research by Informa Telecoms and Media found that smartphone users in South Africa spend on average US$31 per month on their mobile phone. Of the 12 countries surveyed‚ South Africans are the fourth biggest spenders‚ behind consumers in the US‚ Saudi Arabia and the UK.
Mobile data usage rising sharply
Africa's mobile data business is worth US$8.5bn a year and will rise to more than US$23bn in 2018‚ according to the report.
"It is consumer demand that is driving this growth‚" says principal analyst at Informa Telecoms and Media‚ Nick Jotischky. "But retail prices are still too high‚ smartphones are too expensive and there is a lack of investment in connecting parts of rural Africa. These are barriers restraining greater consumer demand."
Vodacom has been providing finance for consumers who cannot afford to buy smartphones upfront. The company says in South Africa‚ handset financing underpins its strategy of putting data capable devices into customers' hands.
source : bizcommunity.com
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