In a continent rapidly embracing digital transformation, mobile penetration remains a key indicator of tech readiness. And in East Africa, Ethiopia is making waves as the largest telecom market in the region, boasting 86.6 million mobile subscriptions in 2024 – roughly 27.5% of East Africa’s total 315 million mobile users, according to the newly released Africa Telecom 50 Report 2024 (East Africa).
Tanzania trails closely with 80.6 million subscriptions, while Kenya locks in third at 71.3 million. Collectively, these three countries dominate the telecom scene, accounting for over 75% of the region’s mobile user base.
But the raw numbers don’t tell the full story.
Ethio Telecom Leads – But Faces a Teledensity Challenge
Despite leading in subscriber count, Ethiopia’s teledensity (the number of mobile lines per 100 people) is lagging behind. With a population of over 132 million, its teledensity stands at just 65.58% — ranking 7th in East Africa. Compare that to Kenya’s 126.48% or Tanzania’s 117.65%, and the gap becomes clear.
This is where things get interesting.
Ethiopia only opened its telecom market in 2022, after more than a century of state monopoly. Until then, Ethio Telecom ran the show solo.
Ethio Telecom Subscriber Base Grows to Become the Second Largest in Africa https://t.co/YzqsdbFrno
— @kymmb (@kymmb16068) July 6, 2024
Since Safaricom Ethiopia’s entry, there’s been movement – but with Ethio Telecom still holding a 92.96% market share, competition remains minimal.
EAST AFRICA | Safaricom Ethiopia Customers Grow to 4.6 Million in Q2 2024 While Rival, Ethio Telecom, Has 78 Million
Locals seem to be doubtful if Safaricom can surmount TeleBirr in Ethiopia given there isn’t any unique offering it is introducing.https://t.co/DhmxD2DIvX… pic.twitter.com/7oj5mAZs6U
— BitKE (@BitcoinKE) August 13, 2024
For Ethiopia to reach Kenya’s level of teledensity, it would need to add over 81 million mobile lines. That’s a massive growth curve, and it begs the question: Is Ethiopia’s duopoly enough, or is it time to let more players in?
East Africa’s Top Telcos in 2024
The Africa Telecom 50 Report also ranks the region’s top-performing Mobile Network Operators (MNOs) in terms of subscriber numbers:
- Ethio Telecom (Ethiopia) – 80.5 million
- Safaricom Kenya – 46.5 million
- Vodacom Tanzania – 24.7 million
- TIGO Tanzania – 23.5 million
- MTN Uganda – 21.5 million
- Airtel Kenya – 21.5 million
- Airtel Tanzania – 19.8 million
- Airtel Uganda – 15.6 million
- Halotel Tanzania – 11 million
- MTN Rwanda – 8.3 million
This paints a picture of a highly competitive landscape across Kenya, Tanzania, and Uganda – with Ethiopia standing out as the least liberalized market among the big players.
The report, published by REVENUE Magazine under Alford Conferences Ltd., draws on a mix of regulator-released data and MNO-reported figures. While some countries like Kenya, Tanzania, and Rwanda have robust data transparency, others – including Ethiopia and several smaller nations – still rely on less frequent disclosures or third-party sources.
Frederick Apeji, CEO of Alford Conferences, emphasized the importance of open data in driving innovation and investment:
“We commend the regulators in countries with public data systems and urge others to follow suit. Transparent data is foundational to digital growth.”
As mobile connectivity becomes a backbone for fintech, DeFi access, and crypto adoption across Africa, understanding the telecom landscape is more relevant than ever. Countries with high teledensity and robust mobile networks are better positioned to scale blockchain-based financial inclusion.
Ethiopia has scale – but unless competition ramps up and infrastructure expands, it may miss the digital dividend its neighbors are already cashing in on.
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