Mergers, Acquisitions and Financial Results

The state owned Ethiopian Telecommunication Corporation (ETC) registered a marked growth in total revenue as it registered over a billion birr (USD115 million) total revenue, accomplishing the installation of more than 165,000 land line phones in the just ended Ethiopian budget year; company sources disclosed.

According to ETC’s annual report, the installation of the land lines through out the country in the last budget year alone surpassed that of the corporation’s outlay in the century up to the year 1992, which only managed to bed in around 163,000 land lines.

“This year could be regarded as a historical year for ETC as it registered an all time high installation of land line phones,” the report stated.

In 1997 Ethiopian budget year, the corporation has embarked on several projects of broadband multi media, Internet, V-sat, which the corporation swanked the implementation of School Net, Revenue Net, Health Net and Woreda Net.

However, critics from all angles accused the actual success and implementation of the aforementioned projects.According to the report, in the Ethiopian year 1997, ETC has carried out surveys in the 3,000 rural stations and signed contracts with companies to install appropriate technology for land line phones.In Addis Ababa, the installation of fiber optic transmissions was carried out in seven directions of the city with a build-out of 2,847 kms.

In terms of the provision of mobile telephone services, out of the 350,000 mobile telephone project, ETC has completed the capital city’s network system. Among the previously planned 150,000 lines in about 100 regional towns, the report says the corporation is close to completing the project.

The additional 600,000 mobile lines project has finished the initial phase, with 95 percent of the materials to be installed have entered the country.

In terms of customer delivery service, in the budget year it planned to issue 335,000 mobile phones out of which it managed to achieve 223,810 phones. Internet provision remained the lowest, which it managed to achieve to sell 5,435 Internet lines out of the plan of 40,000 lines.

ETC for the coming 1998 Ethiopian budget year plans to intensify the capacity of land line phones by another 250,000 lines. According to the plan report of the corporation, supplement to completing the 600,000 mobile lines project, it plans to expand the network capacity of mobile phones by another 1.5 million lines.

Local and international transmission lines will see an installation of 10 new network stations will be set up as well as completing the already started, Diredawa-Djibouti (230kms), Gondar- Metema (180kms), fiber optical transmission line installation will complete, according to the plan statement of the corporation.