Africa nears saturation point for mobile players

Meanwhile, declining voice revenue and stiffer regulation have shifted the focus to data, which has led to blurred lines between ISPs and mobile service providers. With the unified licensing regime, the largest mobile service providers have become the biggest ISPs.

"Large mobile operators have begun to enter the traditional fixed line and ISP markets, and are beginning to market their broadband products as solutions provided to the corporate market segment, e.g. using 3G connectivity for remote branch office connectivity on a WAN or even running VPNs over EDGE / 3G infrastructure," added Pater.

The focus on building infrastructure and the need for shareholders to contribute to the development has strained the relations between majority and minority shareholders. But the investment in some of the modern technologies like IP networks has led to operational savings.

Analysts agree that the green fields license opportunity is diminishing in Africa and the extent to which the licensees are able to compete will be based on management, technical ability and access to capital, which will also determine the intensity of competition on the country.

"As Zain saw in Kenya, simply having a license does not guarantee a share of the market, and market shares can change dramatically and quickly; the future is broadband," said Christie Christelis, president of Technology Strategies International.