Namibia is undergoing a dynamic digital transformation, and the ripple effects are clearly visible in the telecommunications sector. With growing internet penetration, a shift in consumer behavior, and sustained investments in ICT infrastructure, telecom providers are witnessing a substantial spike in data-related income, a trend that mirrors the nation’s rapid digital adoption.
Data services are rapidly overtaking traditional voice revenue, propelled by a combination of rising smartphone usage, broader 5G and fiber rollout, and increasing reliance on digital tools in everyday life.
This evolution reflects global trends but also highlights the unique realities and ambitions driving Namibia’s digital future.
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Soaring Demand for Internet Access
Data consumption across Namibia has risen sharply, as more citizens turn to the internet for work, entertainment, education, and business. A total of 2.67 million cellular mobile connections were active in Namibia in early 2025, with this figure equivalent to 87.1% of the total population. There were 1.97 million individuals using the internet in Namibia at the start of 2025, when online penetration stood at 64.4%. Meanwhile, Kepios’s analysis indicates that the number of internet users in Namibia increased by 41,000 (+2.1%) between January 2024 and January 2025.
Telecom operators are benefitting from this surge, with mobile and fixed broadband services showing strong performance. MTC Namibia, the country’s largest telecom provider, reported notable growth in data revenue of 5.85% during 2024, as a result of expanding subscriber bases and a rise in individual data usage.
To meet this demand, MTC and Huawei launched a trial demonstration of the country’s first 5G technology. The event, which took place in the country’s capital, Windhoek, comes after the Communications Regulatory Authority of Namibia (CRAN) awarded 5G licences to three telecommunications providers in the country, including MTC, in October 2023. Previously, Namibia’s government approved the deployment of a 5G network in 2022.
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Investments in Digital Infrastructure Power Growth
The arrival and integration of undersea cable systems such as the West Africa Cable System (WACS) and Google’s Equiano have significantly increased the country’s international connectivity. These cables have helped telecom companies access more affordable bandwidth, allowing them to introduce cost-effective internet packages for end-users.
Last year, Paratus Namibia made significant strides by launching a fiber network route from Johannesburg to Europe, making use of Google’s Equiano undersea cable infrastructure, following the completion of a 1,890-km fiber link between Johannesburg and Swakopmund, Namibia, via Botswana. The company said that latency on the new route is just 123 milliseconds, thanks to Infinera FlexILS and GX Series DWDM equipment, and can support wavelengths of up to 800 GB, offering high-speed internet in major cities like Windhoek for both businesses and households.
The Communications Regulatory Authority of Namibia (CRAN) has also played a crucial role in enabling these developments through spectrum allocation, licensing, and universal access programs.
The government’s national development blueprint, Harambee Prosperity Plan II (HPP II), further reinforces this vision by prioritizing digital transformation. From e-government initiatives to educational tech access, the plan provides a clear policy framework that encourages digital growth and private sector participation.
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Mobile Apps and Fintech Fuel Revenue Growth
The growing reliance on mobile financial services and digital platforms is another driver behind the spike in data revenue.
According to the Bank of Namibia’s annual report, nearly 100 million e-money transactions were recorded in 2023. As Namibians increasingly adopt mobile wallets, digital banking tools, and fintech applications, the demand for reliable mobile internet has intensified. E-commerce activity, remote education, and digital content creation have all added layers to Namibia’s data demand.
Beyond this, video streaming platforms such as YouTube, Netflix, and TikTok, along with messaging and video calling services like WhatsApp and Zoom, are also contributing to higher revenue. For instance, according to Statista, ad spending in Namibia’s in-app advertising market is forecast to reach USD 11.52 million in 2025. The sector is expected to display a compound annual growth rate (CAGR) of 6.64%, leading to an estimated market volume of USD 14.90 million by 2029.
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Challenges in a Fast-Moving Landscape
While Namibia’s urban hubs are becoming increasingly connected, expanding services to rural and remote regions remains a top priority. Given Namibia’s low population density and vast terrain, improving connectivity outside of major cities is both a challenge and an opportunity.
MTC’s 081Every1 initiative, aimed at achieving universal mobile coverage, has been instrumental in expanding internet access to previously underserved areas. By constructing new base stations and optimizing spectrum use, the company is bringing digital services to more Namibians.
To support such expansion, CRAN oversees the Universal Service Fund (USF), a financial mechanism used to subsidize telecom infrastructure projects in areas that are not commercially viable. These efforts not only promote digital inclusion but also open new markets for future growth.
Despite these positive developments, several obstacles remain. Data costs in Namibia, while falling, are still relatively high for many low-income users. Addressing affordability remains a key concern, especially as internet access becomes increasingly essential for education, business, and civic participation. Congestion on existing networks, especially during peak usage periods, is another challenge. There are also rising concerns about cybersecurity and data protection, particularly as more financial transactions and personal activities move online. Finally, the digital skills gap continues to hinder deeper digital integration.
Future Outlook: Data as the Engine of Digital Transformation
Namibia’s surge in telecom data revenue marks a significant shift in how the country communicates, does business, and accesses services. With strong support from the government, increased competition among providers, and rising public demand, the country’s digital economy is poised for even greater growth.
In the near future, technologies such as 5G, cloud computing, and the Internet of Things (IoT) are expected to redefine how industries operate and how citizens engage with digital services. These technologies will create new streams of data consumption and, in turn, offer more opportunities for telecom providers to innovate and monetize.
By fostering collaboration between the public and private sectors, and by investing in infrastructure and human capital, Namibia can turn its data boom into a long-term driver of inclusive development. As the country moves forward in its digital journey, the rising tide of data revenue signals that Namibia is embracing a more connected society.
