Independent Towers firm reduce telecoms operational costs

THE emergence of independent communication towers has made telecoms reduce operational costs and consequently charges passed to the ultimate consumer, it was said in Dar es Salaam recently.

Previously, each operator was building and managing its own towers which need heavy investment and high operational costs for running a generator, providing security and management of other activities. In many places there were many towers in one area or a hill targeting to serve the same population.

"That is where independent tower companies come in. They own, manage and operate the towers, which can be leased to multiple telecom companies and other uses such as TV and radio stations and meteorological agencies.

"With the removal of the burden of a high infrastructure investment plus site management, telecom companies can focus their energy on what they do best to provide voice and data services to Tanzanians," said Helios Towers Tanzania (HTT) Sales and Marketing Director, Mr Michael Magambo.

He was speaking during an exclusive interview in Dar es Salaam to introduce HTT along with the importance of its contribution to the communication industry in Tanzania and across Africa. HTT is the largest independent tower company in Tanzania, having acquired Milicom Tanzania's 1,000-plus towers in 2010.

It has since built 300 more sites and expects to add more soon. "Many people are not aware of the role that we play in driving the telecom industry though they understand how telecommunications has transformed Africa, connected it to the world, enabled economic activity that has lifted people out of poverty and introduced products such as 'M-Pesa' that foster financial transactions amongst people that were previously impossible.

"The explosion of the telecommunications industry has had a profound impact on many aspects of life in sub-Saharan Africa beyond the obvious benefit of allowing people to talk to each other," he said.

He said the emergence of independent tower companies has played a significant role in expanding coverage, especially into rural areas, creating a more competitive playing field amongst operators.