Liquid Telecom, the Pan- African Telecoms infrastructure company has entered into a partnership with another African telecoms giant, MTN. This is part of an arrangement meant to ensure that the customers for both companies benefit from a wide fixed and wireless footprint.
According to a statement released by the Liquid Telecom group, the deal focuses on wholesale, carrier-to-carrier, high speed broadband, enterprise and fixed data services, while enabling MTN and Liquid Telecom access to each other’s fixed and wireless networks in countries on the African continent, where one party may not currently have presence.
Looking at the geographical reach of Liquid Telecom, this new arrangement provides the Telecom company with access to the West African market. Liquid Telecom has previously displayed its aptitude in telecoms infrastructure through a huge focus on Eastern, Central and Southern African markets.
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This is huge win for Liquid Telecom, largely because of the huge market that West Africa presents because of Nigeria. Overal, Liquid Telecom gets to buy into 12 new markets, namely Benin, Cameroon, Congo Brazzaville, Ghana, Guinea Bissau, Guinea Republic, Ivory Coast, Liberia, Nigeria, Sudan, South Sudan and Swaziland.
For MTN, this deal represents a wider Enterprise Services market, something that Liquid has managed to set up in various geographical markets. New areas, where MTN will be establishing business will be in Burundi, DRC, Tanzania and Zimbabwe.
Liquid Telcom has been aggressive on the enterprise front lately, with the introduction of services like Liquid VoIP and CrashPlan for Africa. This could explain the reach for new markets, but there’s a bit of a haze on how Liquid could be partnering with MTN Business, another enterprise-focused company in markets where MTN is firmly established already.
There’s also the opportunity for investment in enterprise services that Liquid’s local mobile network partner, Econet Wireless, appears to have missed out from all of this. In a telecoms environment where revenue streams should be explored, an entry by MTN in Zimbabwe or Burundi leaves Econet out of that discussion.
You can get the full details in the press release below.