OVERVIEW OF THE UGANDA TELECOMMUNICATION SECTOR AND STRATEGIES FOR MIGRATION TO 3G TECHNOLOGY
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1 OVERVIEW OF THE UGANDA TELECOMMUNICATION SECTOR AND STRATEGIES FOR MIGRATION TO 3G TECHNOLOGY Mwesigwa - UCC 1
2 2. TOPICS FOR DISCUSSION Uganda The country Regulatory Environment Overview of Uganda s Telecommunications Market 3G Licensing Issues Proposed Migration Strategy to 3G Challenges of implementing 3G Technology Conclusion Mwesigwa - UCC 2
3 3 Mwesigwa - UCC 3
4 UGANDA ECONOMIC INDICATORS Population 23 million Surface Area 241,000 sq. km GDP per capita - US$ 320 Economic Growth( ) 5% p.a Mwesigwa - UCC 4
5 REGULATORY FRAMEWORK Uganda Communication Commission (UCC) established by Communication Act of 1997 UPTC restructured into 3 entities; UTL, UPL and Post Bank 51% shares of UTL divested to Consortium of Telecel, Detecon and Orascom MTN licensed as SNO to compete with UTL in provision of all services; fixed, mobile etc CELTEL licensed in 1995 to operate mobile services only 5
6 OVERVIEW OF TELECOM MARKET Service Fixed lines Mobile lines National Operators Mobile Operators ISPs FM Radio Stations TV Stations ,145 3, ,261 72, , ,
7 GROWTH OF MOBILE SERVICES Fixed lines Mobile lines Mwesigwa - UCC 7
8 MOBILE MARKET SHARE UTL Celtel MTN Mwesigwa - UCC 8
9 GSM NETWORK COVERAGE Mwesigwa - UCC 9
10 MEASURES TO STIMULATE RURAL COMMUNICATIONS UCC has formulated a Rural Communications Development Policy which entails: Provision of public phone facility in every subcounty by end of Provision of PoP in each district by end of 2004 Established a Rural Communications Development Fund built from 1% levy on revenues of Operators Provision of roll-out obligations in the licences of National Operators Mwesigwa - UCC 10
11 UCC s PLANS FOR IMPLEMENTATION OF 3G ITU Recommended Spectrum in the 2 Ghz Band to be reserved for 3G Licences Implementation of 3G will depend on market demand Choice of the mode of licensing; Comparative Selection Process and Auction will be decided at a stakeholders conference. Licensing of new Operators can only be done after June 2005 when the existing duopoly expires. 11
12 CHALLENGES OF MIGRATION FROM 2G TO 3G IN UGANDA Mobile market predominantly voice based No relevant local content on the Internet Lack of Internet Applications (Airline Ticketing, Banking, Restaurant Reservation etc) High Cost of Evolution Path: (2G GPRS EDGE - W-CDMA) Availability and affordability of Handsets Market dominated by pre-paid customers Mwesigwa - UCC 12
13 INITIATIVES TO ATTRACT USE OF DATA APPLICATIONS Introduction of SMS is attracting use of text rather than voice SMS- service is bringing data and the Internet world closer to the customer Mwesigwa - UCC 13
14 PROPOSED STRATEGIES FOR MIGRATION TO 3G To consider by-passing GPRS and EDGE interim steps To encourage Infrastructure Sharing e.g. masts As with 2G, provision of pre-paid services will be crucial Tailor 3G Applications to suit local market Mwesigwa - UCC 14
15 CONCLUSION The dramatic growth of mobile services in Uganda has made a significant impact on the overall growth of the economy. Migration from 2G to 3G will be carried out cautiously taking into account the unique telecommunication environment in the country. 15
16 Mwesigwa - UCC 16
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