The information and communication technology (ICT) sector has been one of the most rapidly growing industries in Tanzania, as in most of Africa, over the past 20 years. Driven by the rapid uptake of mobile technology, digital has become one of the private sector's biggest success stories. Now, however, ICT is no longer seen as just a successful industry in its own right, but increasingly as a vital plank in national infrastructure that supports growth across the wider economy.
Investment levels are strong across the sector but are still heavily skewed towards mobile rather than fixed broadband technology. DataReportal estimates that Tanzania had 79m active mobile connections at the beginning of 2025, equivalent to 114% of the population because of multiple SIM holdings, plus 20.2m internet users, equal to 29% of the population. Around 85.8% of all mobile connections now use broadband technologies, illustrating how quickly the market has moved beyond basic voice services. By contrast, there are just 0.2 fixed broadband connections per 100 inhabitants, according to the German Federal Statistical Office.
Mobile sector growth has been driven by market liberalisation, big falls in handset prices and the roll-out of mobile money, which brought millions of people into the formal financial system for the first time. Competition remains intense, with Vodacom Tanzania still the market leader, followed by Airtel Tanzania, Yas Tanzania, Halotel and the state-owned Tanzania Telecommunication Corporation (TTCL).
Originally published by African Business.