LONDON-Mozambique’s mobile sector is set to open for competition following a government bill that was passed through the country’s parliament on 11 December. The bill provides for at least two new operators in the Mozambican mobile market.
Mozambique currently has one operator, M-Cell, owned by a government-controlled monopoly, TDM. M-Cell supports about 150,000 subscribers, a fraction of Mozambique’s 16 million population.
The new law will allow licenses to be sold to other operators, which will also have access to the international gateway. Licenses will be awarded both on technical criteria as well as on the price offered.
“It was imperative to open the market, since M-Cell does not have the financial capacity to expand the mobile-phone network to cover the entire country,” commented Minister of Transport and Communications Tomas Salomao.
The government is hopeful that foreign companies bidding for the new mobile-phone licenses will do so under partnerships with local businesses and will also offer at least 5 percent of their shares for sale to the public.
The licenses are for mobile services operated in the GSM 900 MHz and/or 1800 MHz frequencies. They are initially valid for a period of 15 years, but are renewable.
