Namibia’s telecommunications sector demonstrated a major commitment to enhancing the nation’s connectivity, investing a substantial N$305 million in software and network infrastructure during the first quarter of 2025. This significant capital expenditure, revealed in the Communications Regulatory Authority of Namibia’s (CRAN) Quarterly Statistics Bulletin published last week, represents a twofold increase from the previous quarter and anchors a period of robust activity within the Information and Communication Technology (ICT) sector.
The substantial investment surge is directly attributed to strategic moves by key market players. According to the bulletin, this increase is attributed to renewed capital expenditure by MTC and a significant initial infrastructure investment by Loc8 Mobile. This injection of capital underscores the industry’s focus on expanding and upgrading critical digital networks amidst evolving consumer demands. The investment coincided with sustained growth in the broader ICT sector, which saw revenue grow by 6% in the first quarter of 2025, maintaining the same growth rate observed in the previous quarter.
The impact of this infrastructure push is already discernible in key service areas. Fixed internet subscriptions recorded a 3% increase overall during the quarter. Crucially, this growth was primarily driven by a 10% rise in Fibre-to-the-Premises (FTTx) subscriptions, as service providers continued to expand fibre connectivity. The expansion of high-speed fibre networks is further stimulating demand for related services. Voice over Internet Protocol (VoIP) subscriptions also rose significantly by 9%, likely due to the growing adoption of FTTx, which offers improved speed and reliability. This trend highlights the interdependence of infrastructure investment and the uptake of advanced communication services.
Concurrently, the report reveals a pronounced shift in consumer communication preferences, facilitated by improved network capabilities. Mufaro Nesongano, Executive: Communication and Consumer Relations at CRAN, stated, “Mobile outgoing call volumes declined sharply by 25%, largely driven by a 27% reduction in MTC’s on-net traffic. SMS volumes decreased slightly by 2%, while mobile data usage increased by 6%.” He added that this reflects consumers’ “growing preference for data-based communication services over traditional voice and text messaging.” While the proportion of SIM cards used for internet access dipped slightly from 60% to 58%, primarily due to a 2% decrease in mobile broadband usage via phones, usage through mobile broadband dongles and routers surged by 12%, indicating a diversification in access methods and recovery in that segment.
The critical need for robust and secure infrastructure is further underscored by the bulletin’s cybersecurity findings. While reported cyber vulnerabilities decreased by 16%, falling from 641,000 to 541,000 – a decline likely the result of improved patch management and enhanced security protocols – the sector faced a dramatically heightened threat landscape. Conversely, the number of reported cyber threat events surged from 62,000 to 260,000. The report notes that Most vulnerabilities were associated with the open CPE WAN Management Protocol (CWMP), underscoring the necessity of restricting public access to management interfaces. The N$305 million investment in software and network infrastructure is intrinsically linked to building resilience against such escalating threats and vulnerabilities, forming a core part of network hardening efforts.
The dynamism and significant investment within the telecom sector present a notable contrast to the performance of other regulated sectors covered in the bulletin. The broadcasting sector witnessed a 10% rise in pay-tv subscriptions during the first quarter of 2025, largely driven by increased uptake of Go TV services, pointing towards demand for affordable content. However, this growth was overshadowed by a sharp 20% contraction in advertising revenue, highlighting ongoing instability in this income stream. Conversely, the postal sector displayed unexpected vigour, recording a 43% increase in postbox usage, raising overall occupancy to 43%. Similarly, private bag usage rose by 51%, demonstrating sustained demand for traditional services despite the digital shift.