Chad

Basics
The country remains one of the least developed on the continent, while telecom infrastructure is particularly poor, with penetration rates in all sectors – fixed, mobile and internet –well below African averages. The two main operators Millicom International and Bharti Aircom have invested in infrastructure and have become the main providers of voice and data services. However, the difficult economic conditions of the country, compounded by a new 18% tax on telecom services which has adversely affected customer spend and consequently on operator revenue, have encouraged these players to consider exiting the market. Millicom earlier in 2017 was reported to be in discussions with Orange Group regarding a potential sale, while in May 2017 Bharti Aircom announced that Chad was one of its regional markets which it considered offloading. Nevertheless, despite difficult operating conditions, large scale poverty and low spending power, Chad’s telecom market offers some potential for investors to develop services given the low starting base.

The mobile sector has developed steadily under the auspices of Airtel Chad and Tigo Chad, while the national telco and fixed-line operator, Sotel Tchad (ST) operates the country’s third mobile network, as Salam Mobile. Salam Mobile is mainly focussed on voice services since its dependence on GPRS and EDGE technologies offer only basic mobile data services. The country’s first 3G/4G mobile licence was awarded in April 2014.

Chad finally gained access to international fibre bandwidth in 2012, but it still lacks a national backbone infrastructure to support efficient broadband services. However, the World Bank-funded Central African Backbone (CAB) project has made progress, and Chad is also party to a Trans-Saharan Backbone project which will link a fibre cable to Nigeria and Algeria.

Despite over 78% of

Chadians living in rural areas,

almost 6 millon subscribers, 99.9% prepaid of 14 mio inhabitants

penetration 40%,

5

However, over eight million Chadians remain

unconnected and mobile penetration lags behind many

other African countries. Mobile broadband networks

are still in their infancy, with 3G/4G only around 20%, started in 2014

4G only in capital with Tigo

Internet only 10% of revenue

and internet usage is the lowest among countries

with comparable GDP per capita.

7

SIM card

Based on a representative cost of a SIM

card before tax of XAF 500,

15

taxes on SIM cards make

up over two thirds of the final SIM card cost faced by

consumers.

A SIM activation fee of UD$ 1.6 (XAF 1000) applies

to each new SIM card. This type of activation charge

is rare both internationally and when compared

to neighbouring countries.

The two largest, Airtel and
 * TIGO 55.5%
 * AIRTEL (previously Zain) 43%

Tigo, account for more than 98% of the market. GSM 900 and 1800, UMTS 2100, LTE?
 * SALAM (<1%) 2G only

18% taxes on mobile services

Coverage of population: 22,6% Tigo,

Couverage according to audit of regulator 2016 similar with Airtel and Tigo. Towns are covered by 2G, and mostly 3G, rural areas and roads long uncovered streches. General coverage of population is only around 85% by both providers equal to 30-35% of surface. Tigo is a bit faster with data compared with Airtel.

Maintaining cellular networks in Chad is difficult and expensive due to harsh weather conditions and erratic electricity. The market for handsets and tablets has not kept up with growing demand. Inexpensive handsets from Asia sold on the informal market are most common.

http://www.td.tigo.com

Tigo a commencé ses opérations au

Tchad en 2005.

•

Nous comptons actuellement plus de

3,1 millions d’abonnés mobiles.

•

Tigo a été le premier opérateur de

téléphonie mobile au Tchad à proposer

la 4G

LTE 2600 MHz B7

http://africa.airtel.com