MTN shows healthy data growth
MTN South Africa performed well over the last financial year, increasing their total subscriber base by 17% from 31 December 2006 to 14.8 million at 31 December 2007. Their postpaid subscriber base grew by 9% to 2.5 million subscribers, and the prepaid base increased by 19% to 12.3 million over the twelve-month period. MTN said that low-denomination vouchers have been a key driver in stimulating usage.
MTN’s market share in the local arena was maintained at 36% at 31 December 2007.
Blended Average Revenue per User (ARPU) decreased by 9% to R149 at 31 December 2007, from R164 at 31 December 2006. Prepaid ARPU remained relatively stable, declining marginally to R92 from R94 owing to more affordable lower denomination vouchers.
Postpaid ARPU decreased to R396 from R487 'because of increased penetration into the lower usage segments', MTN said.
Network enhancement during the 12 month period included the commissioning of 371 2G base transceiver stations and 590 3G BTSs. At year-end, the total number of 3G sites was 1379, and 904 000 3G handsets and data cards were in use.
MTN SA is also laying down its own fibre cable to ‘improve the capacity and quality of mobile transmission, and effectively manage margins’.
MTN SA highlighted that their data proposition is gaining momentum, with a 42% increase in data revenue to R2.8 billion. “This was due to competitive pricing, increased 3G roll-out and improved stock management in the channels,” the company said.
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