Visabeira to invest 6 Million Euros in Fibre-To-The-Home in Beira, Mozambique


9 May 2011: The Portuguese company Visabeira is investing six million Euros (about 8.7 million US dollars) in the Mozambican cable television company (TV Cabo Mocambique) to expand the fibre optic network, to cover about 11,000 homes in the central city of Beira, according to a report on Radio Mozambique.

The Visabeira chairperson, Paulo Varela, said that what is envisaged is a "Fiber To The Home" (FTTH) network. This means that the infrastructure is based on a fibre-optic connection, which enables the provision of television and Internet services, from the Central Office or Point of Presence (PoP) via a fibre-optic strand to a subscriber home, "This is a complete innovation in Mozambique", claimed Varela

With the coverage of about 11,000 homes, Visabeira, which controls 50 percent of TV Cabo in partnership with the Mozambique Telecommunications Company (TDM), expects to handle more than half of the market for subscription television in Beira.

"From the market research we have made, we are convinced that we will achieve penetration rates after three or four years, or when the project is at cruising speed, similar to the ones we have in Maputo", said Varela.

Varela added that currently, TV Cabo controls between 60 to 70 percent of the subscription television market in Maputo. "This project is within the normal plan which we had set some time ago for Mozambique", said Varela, adding that the company intended to halt new projects in the country due to the international economic crisis, but keep those already under way.