Econet Wireless

History

Econet Wireless was created in 1993 in Zimbabwe by Strive Masiyiwa. Initially it was meant to be called "Enhanced Communications Network" but was later abbreviated to Econet.

In 1998, Econet Wireless was granted a telephony licence, at a time when 70% of the country inhabitants had never heard a ringtone.

In October 2014, Econet Wireless acquired VimpelCom's Telecel in Burundi (U-COM) and Telecel in the Central African Republic (Telecel RCA) for $65 million

In 2014, the listed Econet Wireless Zimbabwe announced a 14.7% drop in annual profits, from $140 million down to $119 million. In October 2015, due to dropping benefits, following a state regulator-enforced tariff reduction, the company announced a 100-employee layoff to cope with the losses. In 2015, due to increasing losses, the group imposed a 20% salary cut to its employees in Zimbabwe, and negotiated a 15% discount with its suppliers, even though its service EcoCash continues to prosper in the country.

In June 2015, despite the economic turmoil, the company distributed $15 million in dividends to shareholders.

The group

Econet Wireless is a privately owned group, and is not listed on any stock exchange. One of its subsidiaries, Econet Wireless Zimbabwe is listed on the Zimbabwe Stock Exchange (ZSE) and its activities are confined only to the Zimbabwe market.

The group is controlled by its founder, Strive Masiyiwa, and is headquartered in Johannesburg.

Econet Global

Econet Wireless Africa

The Econet Wireless Africa group holds all the African mobile telephony companies. Its subsidiaries are:

Econet Wireless International

Econet Wireless International is the non-African mobile telephony branch of Econet Wireless. Its subsidiaries include:

Liquid Telecom Group

Liquid Telecommunications is a data, voice and IP provider, supplying wholesale optical fibre, satellite and international carrier services to telecommunications operators in developing countries. The subsidiary is based in Mauritius.

Liquid owns and operates extensive fibre optical network infrastructure (in Southern and East Africa) and multiple satellite ground facilities in the United Kingdom, Botswana, Nigeria, Zimbabwe, Zambia, Lesotho, Somalia, Burundi, Niger and Kenya, relying on three satellite transponders. Its worldwide hub is located in central London and serves as an additional point from which to provide interconnections to telecommunications operators worldwide. The company provides a range of wholesale international carrier services.

In December 2015, Liquid Telecom announced the launch of a project to connect eastern Africa and the Middle East with a submarine cable system that will bring high-speed internet to this part of the globe. It has the following subsidiaries:

Steward Bank

In February 2013, Econet acquired a controlling interest in the then TN Bank Zimbabwe, one of the local commercial banks in Zimbabwe, and renamed it Steward Bank. The bank, whose shares were previously listed on the Zimbabwe Stock Exchange (ZSE), were delisted when it became a wholly owned subsidiary of Econet.

EcoCash

In 2005, Econet Wireless developed a mobile payment system to help NGOs make cash transfers to refugees after the Burundi war. The model was extended and integrated in Econet Wireless' technology, along with a credit solution.

EcoCash was officially launched in 2011 and is operated by Econet Enterprises. Within 18 months of its launch, 31% of Zimbabwe's adult population registered to the service.

Its focus is on P2P money transfers. EcoCash provides a saving account, international transfers, banking services, payroll services, and became a solution to pay for public transportation in October 2012. Since March 2013, EcoCash is also available as a payment solution for retailers

Econet Renewable Energy

Econet Renewable Energy is a manufacturer and distributor of solar, wind and off-grid energy products, for the global market, and in particular developing countries. The company's patented new solar product the Home|Power|Station has been installed around the Kwa Mashu area nestled in the valley of a thousand hills in KwaZulu-Natal. According to the company, these pilot units have been functioning well, and changing the lives of the people in the areas of installation. Similar pilot projects are currently being deployed in Lesotho, Zimbabwe and Burundi.

The Home Power Station was first launched by Econet Wireless Executive Chairman, Strive Masiyiwa, in Durban during the 17th Conference of the Parties (COP17) to the United Nations Framework Convention on Climate Change (UNFCCC). Following the success of Home Power, Econet has now also ventured into wind energy as well as off-grid power supply.

Other

Econet Media

Composed of two African video-on-demand services which are Kwesé TV and Kwesé Sports.

The founder

Econet Wireless was founded by Zimbabwean national, Strive Masiyiwa, who first came to international prominence when he fought a landmark constitutional legal battle for five years in Zimbabwe. Strive Masiyiwa left Zimbabwe in March 2000, initially moved to South Africa, and now lives in London with his family.