World Mobile to deploy $350mn for connectivity in Africa

World Mobile Group, a telecom company, has ventured into the commercial operations of connecting rural communities in Africa using balloons, aiming to fill the gap left by major American tech giants. Starting its groundbreaking initiative in Tanzania, the company's Chief Executive Officer, Micky Watkins, sat down with CNBC Africa's Julius Bizimungu to discuss the innovative economic model and the ambitious $350 million investment plan across the continent. Watkins elaborated on the new economic model, emphasizing a sharing economy approach that prioritizes rewarding the individuals maintaining and operating the infrastructure. This model diverges from the traditional telecom industry norm, redirecting the wealth back to the community members directly involved in the network's upkeep. The CEO drew parallels with the success seen in companies like Airbnb and Uber, highlighting the transformational impact of empowering individuals within the telecommunications sector. The conversation transitioned to the significant capital required for such an initiative. Watkins revealed that their system boasts a cost factor ratio of 12 to 1 in comparison to conventional companies, indicating a highly cost-effective approach. With a focus on ensuring fair compensation for those involved, World Mobile Group envisions redistributing the massive potential revenues within the telecommunications industry back to the people. Highlighting the tangible results from their pilot project in Zanzibar, Watkins described the remarkable changes witnessed in a previously unconnected fishing village. The introduction of connectivity enabled local fishermen to enhance their trade by communicating effectively with traders, resulting in increased productivity and economic growth. The utilization of the internet empowered traders to export products internationally, showcasing the transformative power of connectivity for underserved communities. When discussing the $350 million investment plan set to unfold over the next three years, Watkins clarified that the funds would be allocated across the continent to ensure comprehensive coverage. The vision extends beyond Tanzania, with World Mobile Group aiming to establish a robust network that offers equitable opportunities to all individuals. By prioritizing a decentralized sharing economy approach, the company intends to spark explosive growth driven by the collective efforts of community members. Addressing concerns about cost competitiveness, Watkins detailed the hybrid dynamic model employed by World Mobile Group. Through a combination of high-altitude balloons for aerial connectivity and ground-level air nodes utilizing Wi-Fi, the company aims to provide affordable services by offering diverse routing options for different types of internet traffic. This strategy enables World Mobile Group to offer connectivity at half the price of existing solutions, enhancing accessibility for underserved populations. In response to queries about investor interest, Watkins underscored the company's emphasis on a sharing economy model to differentiate itself in the market. By fostering a people-powered network, World Mobile Group aims to garner sustained support from a queue of investors aligned with the vision of inclusive connectivity. Despite the challenges faced by previous high-profile initiatives like Facebook's Aquila and Google's Loon project, Watkins emphasized the importance of learning from past failures and focusing on practical solutions to address the immediate connectivity needs. Regarding regulatory hurdles, Watkins acknowledged the skepticism stemming from past experiences with balloon-based connectivity projects. However, he expressed optimism about engaging with regulators to demonstrate the safety and efficacy of World Mobile Group's infrastructure. With an eye on global events like the World Telecommunication Development Conference 2022, the company is actively seeking regulatory support to facilitate spectrum allocation and operational approvals for expanding connectivity initiatives. Embracing a disruptive economic model and leveraging innovative technology, World Mobile Group is poised to revolutionize connectivity in Africa. Through a commitment to empowering local communities, the company stands at the forefront of a transformative era in telecommunications, heralding a new chapter of inclusive and sustainable connectivity for underserved populations in the region.