Seacom hunts in Africa

Mergers, Acquisitions and Financial Results

Submarine cable operator, Seacom will be on the lookout for growth opportunities in Africa this year.

The company says it anticipates strong growth in the African telecoms market as the impact of government and operator investments into national fibre links, last-mile connectivity and local content continue to be felt across the continent.
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"We are still reviewing possibilities; for example, we are looking into investing in Botswana, Malawi, Burundi, Uganda, Djibouti and Ethiopia," says Seacom CEO Mark Simpson.

"During the past year, we have seen terrific progress. Our investments in West Coast capacity, our African ring and meshed IP networks have started to come into their own. Terrestrial fibre penetration has also improved and we're seeing continued and essential access network developments across our markets. These factors helped us to grow in 2013 and will continue to fuel our evolution in 2014," Simpson says.

International capacity consumption has increased in Africa by a 35% to 50% average compound annual growth rate each year, and will continue to do so in future, he adds.

Simpson believes there is scope for the industry to grow even faster if regulatory bottlenecks continue to be addressed and more work is done to lure investment to the continent. Seacom expects to see more elements of the infrastructure ecosystem – such as neutral, reliable data centres, active innovation hubs, open peering exchanges, cloud-delivered ICT infrastructure and access networks – come together to realise the full potential of the market, Simpson says.