Vanuatu - Telecoms, Mobile and Broadband - Statistics and Analyses

Vanuatu - Telecoms, Mobile and Broadband - Statistics and Analyses

Improved international connectivity driving broadband service uptake

For many years, GSM was the primary mobile technology for Vanuatu's 300,000 people. Recent infrastructure projects have improved access technologies, with a transition to 3G and, to a limited degree, to LTE. Vanuatu has also benefitted from the ICN1 submarine cable and the launch of the Kacific-1 satellite, both of which have considerably improved access to telecom services in recent years. Vanuatu's telecom sector is liberalised, with the two prominent mobile operators Amalgamated Telecom Holdings (operating as TVL) and Digicel Vanuatu offering effective competition.

While fixed broadband penetration remains low, the incumbent operator is slowly exchanging copper fixed-lines for fibre. A number of ongoing submarine cable developments will also assist in increasing data rates and reduce internet pricing in coming years.

BuddeComm notes that the outbreak of the Coronavirus is continuing to have a significant impact on production and supply chains globally. The telecoms sector to various degrees is likely to experience a downturn in mobile device production, while it may also be difficult for network operators to manage workflows when maintaining and upgrading existing infrastructure. Overall progress towards 5G may be postponed or slowed down in some countries.

On the consumer side, spending on telecoms services and devices is under pressure from the financial effect of large-scale job losses and the consequent restriction on disposable incomes. However, the crucial nature of telecom services, both for general communication as well as a tool for home-working, will offset such pressures. In many markets the net effect should be a steady though reduced increased in subscriber growth.

Key developments:

Launch of the Kacific-1 satellite to improve broadband capacity and access;
ICN2 cable expected to be ready for service later in 2021;
Gondwana-2 international submarine cable due for completion in early 2022;
Report update includes an assessment of the global impact of Covid-19 on the telecoms sector, regulator's market data for 2018, recent market developments.

Companies covered in this report include:

Amalgamated Telecom Holdings (ATH), Vodafone Vanuatu (formerly Telecom Vanuatu), Digicel Vanuatu