HSBC Global hosted a Con Call with Terry Rhodes, co-founder of Celtel International acquired by Zain. Mr. Rhodes was of the following opinion
On Diversity and Cultural spread in Africa,
As Africa consists of 53 countries, to operate successfully it is important to understand the dynamics of each country, including differences in culture, language and especially regulations. Bharti would do well to put in place as few expatriates as possible and have most of its top management from Africa.
On Infrastructure sharing and cost / capital issues,
The biggest driver of network sharing will be the shift in approach of the biggest operators, who had been unwilling to share network to sustain competitive advantage. There is visible network sharing in the markets of Nigeria, Ghana and South Africa, and that this is likely to pick up in other markets.
On Bharti Airtel’s Minute Factor Model,
Network sharing and IT outsourcing would help operators bring down costs. While costs could trend down, however they will be higher than in India because of some of the structural costs caused by power shortage and poor infrastructure.
Can Mittal sail the rough winds and manage to integrate African Operations into Bharti Airtel which will make him the Global Telecom Czar.