The International Business of Mobile Telecommunications: Expansion Across Africa

Abstract

Once governments in Africa were persuaded to create markets for mobile telecommunications, a complex game of buying and selling licences and licensed operators began, that has seen the rise and fall of multinational enterprises (MNEs). Their geographic footprints reflect complex patterns of when licences became available, how well entrenched were individual operators, the willingness of sellers, and the access to finance of buyers. Operator groups had to build commercial experience and their capabilities in corporate political activity (CPA), notably in negotiating issuance of licences and their transfer. A very few state-providers remain, of which two have outsourced most of their work. There is a clear contrast with telecommunication manufacturers, which operate on truly global markets.

Keywords: Competition, corporate political activity, governance, Internet, mobile, politics, telecommunications, wireless

JEL Classification: N37, N47, N77, L96