Satellite Networks

Is Algeria about to open up its satcoms market?

Is Algeria about to open up its satcoms market?

Algeria’s telecoms regulator ARPCE last week launched a call for bids for two satellite licenses, a significant move in a sector so far only open to public companies.

These licenses cover the establishment and operation of public electronic communications networks using non-geostationary orbit (NGSO) satellites.

According to the Ministry of Post and Telecommunications, the initiative seeks to diversify electronic communication services, stimulate market competition, and ensure equitable access to the internet. It is hoped too that it will aid the development of Internet of Things (IoT) solutions, particularly in agriculture, mining and transport.

An additional aim is to expand high-speed internet access nationwide, especially in hard-to-reach areas, reducing the digital divide and extending coverage across the country. This would imply involvement by LEO operators, though it is not yet clear whether they will be able to take part. ,

As the Ecofin news agency points out, so far only home-grown operators, state-owned companies Algérie Télécom Satellite (ATS) and mobile network operator Djezzy, are authorised to provide satellite services in Algeria.

Djezzy’s VSAT license allows it to deploy satellite-based communication networks to connect remote sites and deliver connectivity services, mainly to businesses.

ATS has both VSAT and global mobile personal communications by satellite (GMPCS) licenses. This means it can provide fixed satellite connectivity as well as mobile satellite communication services.

The fact that Algeria appears to be allowing new players into a segment that has so far been dominated by state-owned companies has led to some speculation about potential bidders.

The call for bids is reportedly open to holders of licenses to establish and operate public satellite communication networks using VSATs. It also targets operators with global NGSO satellite constellations.

This may benefit low-Earth orbit (LEO) satcoms providers, though whether big names like Starlink, Eutelsat – via its OneWeb constellation – and Amazon Leo could be beneficiaries of the new regulatory regime is, so far, unclear.



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