Internet subscriptions increase in Zimbabwe

THE Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) has reported a 2, 78 percent increase in internet subscriptions in the first quarter of 2024, with the number rising from 11,240,969 in the previous quarter to 11,552,928.

The growth in internet subscriptions has resulted in a 2.06 percent increase in the internet penetration rate, rising from 73.3 percent in the fourth quarter of 2023 to 75.36 percent in the first quarter of 2024.

This indicates that a larger proportion of Zimbabwe’s population is now online, reflecting progress in expanding internet access and digital inclusion.

In the first quarter sector performance report, Director General of Postal and Telecommunications Regulatory Authority of Zimbabwe Dr Gift Machengete said that active mobile subscription has declined by 1,56 percent from 14,973,816 recorded in the last quarter of 2023 to reach 14,739,613.

“We have reported a 2, 78 percent increase in internet subscriptions in the first quarter of 2024, with the number rising from 11,240,969 in the previous quarter to 11,552,928,” said Dr Machengete.

He also said that growth in internet subscriptions coupled with a decline in active mobile subscriptions and fixed telephony subscriptions may be attributed to a shift from consumption of voice centric services to data.

“Internet and data usage increased by 24.9 percent to reach 58.44 Petabytes (PB), from 46.79PB recorded in the fourth quarter of 2023. Used Incoming International Internet Bandwidth Capacity increased by 1.23 percent to record 371,971Mbps, from 367,447Mbps recorded in the fourth quarter of 2023.

“This is attributed to increased expansion of digital services, remote working, online learning, growing Internet connectivity and preference for Over-the-top (OTT) media and streaming services among other things.”

Dr Machengete further outlined that the sector may suffer the negative spill-over effects of the El Nino induced drought which is likely to reduce aggregate demand. Hence demand for telecommunication services may contract as consumers prioritise food against data.

“The drought is likely to result in reduced disposable incomes, especially for agro-based businesses at both the primary and secondary production levels, thereby forcing consumers to cut back on discretionary spending on data-centric ICT applications. This may result in reduced consumption of the Internet, ” he said.

He noted that the El Nino induced drought may impact power generation, as the water levels at Kariba Dam have not risen.

“This has an indirect effect on the sector, as it heavily relies on commercial power for the provision of telecommunication services. Power cuts owing to depressed power generation impact quality of service and increase cost of service provision for operators as they are forced to rely on alternative sources of power.”

Dr Machengete further stated that the prospects for effective competition are gaining traction as evidenced by the number of licence applications received for various licences under the converged licensing regime.

“Accordingly, a significant increase in the number of operators is envisaged, which is set to enhance competition in the sector, spurred by a high appetite for innovative digital services. The sector is set for increased investment, competition, and innovation, albeit the negative effects of the El Nino induced drought,” said Dr Machengete.chronicle

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