Zain sale raises questions about One Network rollout

Uncertainty surrounds the future of Africa's first borderless network and mobile money service following the acquisition of Zain's Africa operations by Bharti Airtel of India.

The network, dubbed "One Network," allows subscribers to call any country where the service is available at local rates with no roaming charges. The network also allows subscribers to access Zain's mobile money service, Zap.

After launching the network in Ghana two weeks ago, Zain was in the process of launching the network in Zambia after the government there allowed private mobile service providers to operate their own international gateways. A Zain Zambia official, however, told Computerworld Zambia that the company has halted its plans to roll out the program in the country because the company has been sold to Bharti Airtel. Zain has also halted its plans to roll out mobile commerce in Zambia and other countries following the sale of the company.

Users in several African countries are connected to the network and were regularly using the mobile money service to send and receive money in all the countries that are connected to the borderless network.

The mobile money commerce allows customers to use their mobile phones like a mobile wallet to pay for goods and services and conduct banking services regardless of the type of handsets they use. Zap services are currently being implemented in seven African countries including Malawi, Sierra Leone, Ghana, Tanzania and Uganda. Subscribers can use their mobile phones to pay utility bills, receive and send money to friends and family, manage their bank accounts and withdraw money from a bank.

However, both Bharti Airtel and Zain officials have refused to comment on the future of the service, noting the sale of the company to Bharti Airtel has not yet been concluded.

"I'm unable to comment on the status of the sale and program at this stage," said Zain Africa CEO Chris Gabriel via e-mail on Friday.

If the new owners of Zain Africa decide to abandon the borderless network, subscribers will be heavily affected, as most people in Africa have no bank accounts and in many cases have to travel long distance and queue for long hours in order to access bank services.

In India however, Bharti Airtel provides a range of mobile commerce solutions ranging from mobile money transfer to postpaid bill payment on the mobile phone.

Zain offers telecommunication services in the Democratic Republic of Congo (DRC), Chad, Burkina Faso, Republic of Congo, Kenya, Ghana, Gabon, Malawi, Nigeria, Niger, Sierra Leon, Zambia, Tanzania, Uganda and Madagascar.