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Zimbabwe Report

Marcopolis presents the Zimbabwe Report focused on topics such as economy, investments and doing business, featuring interviews with Zimbabwe's leaders. The sectors under review in this issue are agriculture & agribusiness, banking & financial services, construction & real estate, hospitality & tourism, industry, services, telecom & IT, and many more. 

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InterviewsNovember 28, 2023

Bridging the Digital Divide in Zimbabwe: Founder and CEO Arnold Chimambo Shares Zodsat's Journey

Arnold Chimambo, Founder and CEO of Zodsat
Arnold Chimambo, Founder and CEO of Zodsat
Written by Sandra Francisco
Published: November 28, 2023

Interview with Arnold Chimambo, Founder and CEO of Zodsat

Can you provide some background information on Zodsat? How did it originate, and could you guide us through its historical evolution?

Zodsat was established in 2016 as a consultancy firm, initially focusing on providing technological solutions to companies for streamlined operations. Our services included software and connectivity solutions. As we delved into our work, we discovered a passion for extending connectivity to underserved areas, making them our primary target clientele. In 2018, we formalized our operations and began collaborating with various internet access providers, particularly in rural areas where we operated as an unlicensed internet service provider.

During that time, the regulatory framework allowed companies to function without a permanent license, given they partnered with licensed enterprises. However, around 2020, there was a shift in the licensing regime, prompting us to acquire our own license. This change culminated in October of last year when we were awarded our official license and now we proudly hold the status of a fully licensed and operational internet service provider.

Let's delve deeper into the scope of your business and the services you offer to your clients.

Our primary focus is on satellite internet, broadband, and satellite backhauling services. We cater to mobile telecom operators, particularly in remote areas where fiber installation is not feasible for establishing base stations. In such cases, we leverage our satellite infrastructure to provide backhaul services, ensuring internet access and supporting the telecommunications backbone. This constitutes the core of our business.

As technology evolves, we have also recently shifted our attention to the Internet of Things (IoT), recognizing its emergence as a multi-billion-dollar sector. In Zimbabwe, there is considerable untapped potential in this field, especially in industries like farming, mining, and security. Currently, we are collaborating with the government on an IoT solution for the entire country, addressing security concerns, particularly in safeguarding transformer systems. Given Zimbabwe's power deficit, we have developed an IoT solution that instantly notifies the relevant parastatal about any intrusions or attempts to steal components from transformer systems. This solution, facilitated by a dedicated app and our research-backed gateways, enables swift responses from authorities.

In addition to this, we have been granted a VoIP service license, with National Destination Code (NDC) 08633, which we plan to launch by mid-next year. Currently, we are in the process of seeking funding to acquire the necessary equipment for interconnecting with mobile and fixed telecommunications operators. Once operational, we aim to offer our VoIP numbers to businesses and individuals.

You mentioned seeking funding. Can you elaborate on your approach to securing funding? Are you considering external investors, internal investors, or a combination?

We have had internal investors expressing interest due to the impact we have made in the market, creating a noticeable presence. Several entities and individuals have approached us, wanting to become partners or invest in Zodsat. However, being a smaller entity, it is crucial to conduct thorough due diligence before engaging in any partnerships. Locally, we have not finalized any agreements yet. We are open to both local and international investors, provided they align with our business values and vision, and we can work together seamlessly.

What sets Zodsat apart in such a competitive landscape? Given the presence of major players in the industry, what unique aspects do you bring to the sector?

Many companies in Zimbabwe were primarily focused on lucrative opportunities in metropolitan areas. However, Zodsat took a different route, recognizing a shift in the economy. With increased farming and mining activities, we identified a lack of adequate connectivity in these sectors, especially in remote areas. In response, we formed a strategic partnership with Eutelsat this year, leveraging their recently launched satellite. This satellite is a game-changer, offering fiber-like speeds via satellite even before technologies like Starlink emerged. This development was particularly exciting as satellite technology had previously been deemed slow and outdated. Our vision as a company was to change the market by introducing this innovative solution. In a short period, we connected hundreds of users, causing a stir among larger players who were surprised by our rapid growth. At that time, we were in the process of working with an IAP (Internet Access Provider) and had applied for a license. Despite being in the early stages, we managed to disrupt the market, prompting some resistance from established players who initially wanted to halt our progress. Eventually, we brought them on board, but they also attempted to enter our space and replicate our approach, even collaborating with other service providers offering similar solutions.

Would it be accurate to say that your target markets are predominantly in rural areas? Could you provide more insight into who you are primarily selling internet services to?

The core focus of our company revolves around providing connectivity in underserved and remote areas. We step in where fiber has not been laid or where people struggle to access reliable connectivity. However, our offerings go beyond that. We are actively involved in providing IoT solutions, and we have a VoIP service set to be launched soon. Additionally, we are exploring a new wireless technology aimed at making home internet products more affordable. Currently, we have submitted the technology to the regulator for type approval before its official introduction to the market.

Can you provide more details about your upcoming projects?

We have recently entered into a partnership with a UK-based company named Curvalux. They have developed an innovative wireless broadband technology that enables a service provider to cater to thousands of clients using a single base station. This technology utilizes microbeams and boasts a coverage range of up to 10 kilometers, delivering impressive speeds of 300 to 400 Mbps on a single link. To put it in perspective, this is comparable to the speeds one might experience with normal fiber broadband at home. In the current market, for instance, I am receiving 100 Mbps on my fiber connection.

We believe this technology will make connectivity in metropolitan areas more cost-effective. Unlike major players who made significant capital investments in fiber, our solution doesn't involve extensive digging. Instead, we install base stations and provide standard customer-premises equipment for connectivity. By achieving high-speed connections using a single, affordable microbeam, we anticipate a reduction in the overall cost of bandwidth.

Regarding Zodsat's connectivity, where is it available? Are there specific towns or cities, or is it accessible throughout Zimbabwe?

Our service is accessible in every corner of Zimbabwe. If you were to look at our coverage map or the map displaying our connected clients, you would see that we have users in virtually every part of the country.

Let's discuss Zodsat's short-term goals. Can you provide an overview of what you aim to achieve with Zodsat in the next six months to a year?

In the short term, our goal is to enhance our infrastructure, allowing us to offer a comprehensive range of services as a fully-fledged Internet Service Provider (ISP). This includes voice, data, and various over-the-top services, essentially covering a broad spectrum of mobile top services. Currently, we rely on the infrastructure of other players, so our focus is on securing funding to establish our own infrastructure. Once achieved, we aim to compete on equal footing with other service providers that have long-established themselves in the market.

Do you engage with companies directly, particularly corporates? Could you specify the types of companies you offer services to?

Absolutely, we collaborate with corporates, including NGOs and blue-chip companies. Our services extend to various sectors, including production and mining houses such as diamond companies. Essentially, our clientele is diverse, covering a wide range of sectors, including government parastatals.

What inspires and drives you to do what you do? What is your life philosophy?

I have always been someone who excels in everything I undertake. I am a go-getter and a perfectionist. I have worked across various industries to gain experience in the corporate world and find my true calling. It was not until I worked for a telecommunications company that I realized this was where my passion lies. The frustration of not being able to provide an exceptional service to clients and the feeling of not being heard drove me to see if I could make a difference on my own terms. That is essentially what fueled the creation of the organization – my drive to make a positive impact.

 

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