The Ethiopian Communications Authority has issued a new directive, setting out license fees for companies applying to become internet service providers (ISPs), with costs reaching up to five million birr. The directive, issued under Communication Service Decree No. 1148/2011, also mandates that licensed companies pay an annual service charge of 1% of their gross income.
According to the newly introduced Communication Service License and Management Fee Guidelines, applicants looking to offer data center services must pay a license fee of 500,000 birr and contribute 0.5% of their annual revenue to service fees for a 10-year license.
Entities seeking to provide call center, value-added telecommunication, or virtual internet services on a one-year basis will be charged a license fee of 35,000 birr.
In addition to internet services, companies that obtain ISP licenses will also be eligible to provide data center, call center, and other telecommunications infrastructure services. Similarly, data center providers can expand their services to include value-added telecom offerings such as call centers.
The directive further specifies a structured licensing system for various telecom service equipment, with fees required for devices such as mobile phones, fax machines, POS terminals, and mobile WiFi routers.
The new regulations outline clear guidelines for the licensing process in Ethiopia’s growing telecommunications sector.
