Orange Madagascar signed an agreement with NuRAN Wireless, a leading rural telecommunications company, to expand its coverage in rural areas by deploying up to 500 rural networking telecommunication sites under the NaaS business model on the east coast of Madagascar.
The deal was signed in a virtual ceremony attended by Frederic Debord, CEO of Orange Madagascar, Francis Letourneau, CEO at NuRAN Wireless, and Mr Tahina Razafindramalo, Minister of Digital Development, Digital Transformation, Posts and Telecommunications of Madagascar.
Frederic Debord, CEO of Orange Madagascar, said, "We are pleased with the materialization of this partnership which aims to bring mobile telephony services to the Malagasy people who were previously excluded from digital connectivity".
"Mobile telephony has become an essential need in everyday life and essential for economic and social development because it makes it possible to open up and connect Madagascar to the rest of the world and as importantly have access to financial services through mobile money."
Also Read: Canal+ Group to Acquire Orange Studio and OCS Pay TV
"We are extremely pleased to add Madagascar to our growing portfolio of African countries. We are also thankful to Orange for this third contract as we continue to build and grow this strong relationship with them. With the addition of these 500 sites, we have now reached 4,642 sites under contract in less than 2 years from receiving our first NaaS contract," said Francis Letourneau, CEO of NuRAN.
"We are approaching 50% of our goal of 10,000 sites under contract within five years. NuRAN is proud to be at the forefront of our mission to bring essential mobile connectivity to those that need it most in a cost-effective, profitable, and environmentally friendly manner," Francis added.
10-year agreement with Orange Madagascar
The company's 10-year agreement with Orange Madagascar is the 3rd contract with Orange with a potential gross revenue of over US $ 90 million at an anticipated rate of US $ 1,500 per site per month with an estimated gross margin of 70%.
Project Supports 2G and 3G networks
Fees for the NaaS services provided by NuRAN under the agreement are paid on a revenue-sharing basis. The project is expected to support 2G and 3G networks with various site categories to cover different population densities and coverage areas. After the contract is over, NuRAN expects to keep control of the infrastructure, which raises the contract's overall worth of the agreement.
Also Read: Orange Partners With Reservoir Sun to Launch Its First Solar Farm in Europe
Financial Inclusion
The 500 sites to be installed in remote areas will allow more than one million Malagasy to communicate and enjoy all the services offered by the Orange Network, including the financial services provided by Orange Money. Orange Madagascar plans to deploy other sites to expand coverage in rural populations, thereby reducing the digital divide and developing financial inclusion.
