Orange Suspends Entry Into Nigerian Market
Telecommunication operator, Orange has announced a temporary suspension of its plans to explore into Nigerian market, as a potential addition to its African footprint.
This was revealed by the Chief Executive Officer, Middle East and Africa, Orange, Jerome Henique at the Mobile World Congress Barcelona, Orange Middle East, and North Africa as he complained about the lack of market conditions for the operator to enter in the Nigerian market.
This is contrary to the information from the Nigerian Communications Commission (NCC), which claimed that Orange sent a team to explore a possible entry into Nigeria in July last year.
Henique said that Nigeria already has four established operators in its market and there was “no positive conclusion” from its recent market survey of Nigeria, and there is “no project in the short term to enter Nigeria”, but did not rule out a future entry.
He added that the conditions must be right for Orange to mount a serious challenge against market incumbents.
“When we consider what we have to invest, we believe that being the big number one or number two player is a condition for success. Nigeria is already a mature market, but we of course continue to monitor all markets and opportunities in Africa,” he said.
However, Orange is currently mulling its options to enter Ethiopia, where the government is looking to sell off a 40 per cent stake in state-owned Ethio Telecom.
Ethio Telecom is a strong incumbent that has been “transforming itself quite impressively” since the arrival of competition from Safaricom Ethiopia, he added.