Algeria Telecom is the leader in the Algerian telecommunications market and is experiencing strong growth. The company offers a full range of voice and data services to residential and business customers. Algeria Telecom’s position has been attained through strong innovation policies that are tailored to meet customer expectations and oriented to new users. Azouaou Mehmel, Algeria Telecom CEO, talks about challenges, operational philosophy, future activities, and cooperation with ZTE.
Q: What are the characteristics and trends in the Algerian telecom market?
A: Algeria’s telecommunications market is very dynamic and is expected to grow a lot in the years to come. This is a big challenge for Algeria Telecom, the national operator, and also for other stakeholders.
Q: What is your operational and management philosophy in running Algeria Telecom?
A: Algeria Telecom is a public joint-stock company operating capital market networks and electronic communications services. It is a national fixed-line telecom operator that faces the same constraints as other fixed-line operators all over the world. However, Algeria Telecom has not had a period of rest and adaptation in its transition from state-owned “administrative” company to a full commercial company because of the quick opening up of the market to competition. The greatest challenge for Algeria Telecom is to adapt to this new reality by focusing on skills development and human resources. The new situation requires us to adopt a customer-oriented management philosophy.
Q: What challenges have you encountered and are there any stories you would like to share?
A: Algeria Telecom has encountered several challenges since its creation. In particular, we had to deploy and maintain different large network infrastructures and provide broadband for everyone across the country.
Q: What is Algeria Telecom’s development strategy and next step?
A: Our main development strategy is to transform gradually from a network operator to a services operator centered on clients. For this, quality of service is an essential prerequisite. The next step will be upgrading all network layers to offer the best service quality.
Q: How are you going to develop your broadband services?
A: Algeria Telecom must become a major broadband operator. This is the case for all fixed-line telecom operators around the world. We initially upgraded all our network infrastructures, which was a huge job because of the extent of the network. There is still a lot of work to be done in developing services and content to create added value on this infrastructure.
Q: How does Algeria Telecom position its LTE service, and what will be the key factors driving LTE uptake in Algeria? Do you think the Algerian market is ready for 4G when 3G services are just taking off?
A: Considering the immensity, geographical diversity of the territory, wireless solutions are necessary in some areas. Algeria Telecom deployed a national CDMA wireless local loop network, but with the imminent launch of 3G services, this network has to be stopped for now. Also Algeria Telecom is authorized to build a high-speed LTE wireless network but in fixed mode (no mobility) to offer a variety of wireless services. This broadband network also has to cover the areas where it would be difficult for a wired network to reach.
I believe that the LTE market is promising, and our LTE network will not address the same needs as the 3G network. Also, launching these two services simultaneously will help our country catch up with telecommunications development in other countries in our region.
Q: What do you think about the cooperation between Algeria Telecom and ZTE? How can ZTE fit into your development strategy?
A: The relationship between Algeria Telecom and ZTE is excellent. We consider ZTE a partner, not just a supplier. ZTE is a major player in the Algerian telecom market, which has to grow strongly.
Q: What are the new trends in the global telecom market? Are there any best practices you would like to apply to your local market?
A: We will follow the same developments and trends as in more mature markets. The internet in particular has standardized usage habits and behaviors throughout the world to some extent. Of course, we will have to adapt solutions to our locale, especially technical solutions, because of geography. We will also have to adapt some services and content. Algerian customers are very fond of new technologies and are very receptive. I do not think they will be very different from other customers across the world.