African telecom infrastructure developments empower cloud, CDNs, and SaaS providers

A recently updated report unveils the tremendous opportunities for content delivery networks (CDNs), cloud services, and software-as-a-service (SaaS) providers in Africa’s ever-expanding connectivity landscape.

TeleGeography, a leading telecom market intelligence and research provider, highlights significant developments in the African telecommunication network infrastructure landscape and the resultant traffic patterns. This will benefit CDNs, cloud, and SaaS providers’ African deployment strategies.

One of the key findings is the substantial increase in transit route capacity across the continent and the growth of intra-Africa traffic. More digital content is being serviced within Africa than ever and at a rapidly growing rate.

The expanded capacity in both subsea cable and terrestrial fibre has translated into large IP bandwidth growth, price declines in bandwidth, growth in localised data centres and, as a result, enhanced connectivity and improved user experiences. In summary, a healthy, growing telecommunication ecosystem which enables CDNs, cloud services, and SaaS providers to serve new customers within sub-Saharan Africa reliably.

Subsea cable, terrestrial fibre and data centre investments are making Africa the top-growing bandwidth market globally, with projected compound growth of 42% between 2022 and 2029, surpassing the global average projections of 32%. Content providers have experienced 80% compound annual growth rates in African bandwidth between 2018 and 2022.

Introducing new submarine cable systems is expected to increase capacity for coastal and landlocked countries, increase the number and size of intra-African routes, decrease transit prices along key African routes, and boost localised digital content growth.

The report highlights that despite the historical internet traffic routes from Europe to Africa, South Africa has become a growing regional hub for intra-Africa internet capacity, with the percentage of traffic servicing sub-Saharan Africa becoming more intra-Africa than traditionally serviced from Europe.

As Internet Exchange Points (IXPs), CDNs, points of presence (PoPs), and data centre construction sparks the growth of new ecosystems within Africa’s shores, the internet edge moves ever closer to African end-users, with significant transit hubs within Africa, assuming prominence over Europe.

Intra-Africa capacity within sub-Saharan Africa being serviced from South Africa has exploded between 2016 and 2022, with compound growth of over 50% per annum, with South Africa entrenching its position as the content hub for Africa.

TeleGeography Intra African Route Growth 2016 vs 2022
TeleGeography Intra African Route Growth – 2016 vs 2022

 

“Teraco is serving 26 African countries, and as the demand for reliable and scalable digital infrastructure continues to surge, we remain committed to supporting these providers in expanding their presence across the region,” says Michele McCann, Head of Platforms at Teraco.

“With these substantial bandwidth investments, CDNs, cloud services, and SaaS providers can unlock unprecedented growth opportunities in Africa’s evolving digital landscape by leveraging Teraco’s state-of-the-art facilities, deep ecosystems, and our position as the hub of Africa’s digital infrastructure.”

Teraco is strategically positioned with access to subsea cable systems on the East and West coasts of Africa, over 350 telcos, global cloud on-ramps and enterprises, ensuring that Teraco clients have multiple interconnection options and valuable data flows, creating more opportunities for innovation.

“With increased transit route capacity, forecasted bandwidth growth, improving pricing dynamics, a flourishing content ecosystem, and the evolving data centre landscape, service providers need to look no further to extract immense potential and establish a successful presence in the African market,” she adds.

The full African Network Geography Update by TeleGeography can be accessed on the Teraco website.

About TeleGeography

TeleGeography is a leading provider of telecom market intelligence and research. With a focus on global connectivity, the company offers valuable insights into network infrastructure, international capacity, and pricing trends. TeleGeography’s reports and data products are trusted by industry professionals worldwide to make informed business decisions.

About Teraco

Teraco, a leading carrier-neutral colocation provider in Africa, is the first provider of highly resilient, vendor-neutral data environments in sub-Saharan Africa. With its world-class data centre infrastructure and network-dense ecosystems, Teraco forms a vital part of the African Internet’s backbone and is essential to the modern enterprise’s digital transformation strategy. Teraco is part-owned by Digital Realty (NYSE: DLR) – offering customers a global data centre platform designed to enable digital businesses to scale within a highly connected data community across 300+ data centres in 50+ metros and 27 countries on six continents – and a consortium of private equity investors, including Berkshire Partners LLC and Permira. For more information, please visit teraco.co.za or follow us on LinkedIn and Twitter.

Relocating the workplace can be made simpler with a cloud PBX system, as it is not a physical object and does not need to be transferred. Linking different offices with the same system also eliminates the cost of inter-office calls.

About Telecoms-Channel

Telecoms-Channel.co.za is your one-stop source for the latest news and insights from the telecoms industry in South Africa, so that you get comprehensive coverage of the industry and keep up with the ever-evolving market landscape.

Whether you need to understand market trends, identify new opportunities, or stay informed of the latest developments, we have you covered. Check our favourite content here.

In addition to bringing the best news together, we have access to an extensive supplier network that makes it easy for any telecoms company looking to tap into new markets or enter the telecoms industry. With the comprehensive range of solutions available in the market, we help you to find the perfect combination to suit your business.

Take advantage of our expertise and contact us today to find your next partner!

About Telecoms-Channel

Telecoms-Channel.co.za is your one-stop source for the latest news and insights from the telecoms industry in South Africa, where you get comprehensive coverage of the industry and keep up with the ever-evolving market landscape.

Whether you need to understand market trends, identify new opportunities, or stay informed of the latest developments, we have you covered.

In addition to bringing the best news together, we have access to an extensive supplier network that makes it easy for any telecoms company looking to tap into new markets or enter the telecoms industry. Take advantage of our expertise and contact us today to find your next partner!

Other posts you might be interested in

BitCo Telecoms Sold
Bitco

BitCo Telecoms Sold

Link Africa has announced the acquisition of BitCo Telecoms, a move that strengthens their position in the South African telecommunications industry. This strategic acquisition expands Link Africa’s product portfolio, customer base, and overall network coverage across the country.

NEC Exit
NEC

NEC Exits On-Premise UC Market

NEC is making a strategic shift, exiting the on-premise PBX market outside of Japan. This move reflects the ever-growing dominance of cloud-based communication solutions.

Cloud PBX Solutions

Request Once, Get Multiple Quotes - Save Thousands!