ARME Q1 2026 Data: Fixed-Line Stagnation, Broadband Momentum and a Saturated Mobile Market
Cabo Verde’s fixed-telephone service edged up by just 0.06% compared with the fourth quarter of 2025, reaching 62,490 subscribers by the end of March 2026, according to the multisector regulator ARME. The year-on-year comparison was slightly healthier at +1.55%, but the overall picture is one of a line of business that has stopped growing meaningfully. Penetration stood at 12 lines per 100 inhabitants, and the market remained overwhelmingly in the hands of CVTelecom, which held 99.3% of fixed-line customers; Unitel T+ served the remaining 0.7%.
Voice traffic tells a story of short-term seasonal recovery masking a structural decline. In the first quarter, 3.28 million minutes were carried on the fixed network, 4.8% more than in the preceding quarter. However, compared with the same period a year earlier, total voice minutes fell by 15.0%, dragged down by a 3.7% drop in national traffic and a 6.9% contraction in incoming international calls.
Fixed broadband was the quarter’s bright spot. Subscriptions rose 3.4% versus December 2025 and 12.9% year-on-year to 51,020, giving a penetration rate of 9.9%. The technology mix shows a market in transition: 46% of connections still used xDSL, but fibre-to-the-home (FTTH/B) had grown to a 33% share, with satellite at 6% and FWA-radio at 15%. Pay-TV subscriptions, in contrast, fell 6% quarter-on-quarter and 5.3% year-on-year to 9,492, for a penetration of just 1.84%.
On the mobile side, the market is saturated. At the end of March 2026 there were 588,603 active SIM cards, down 0.8% from the previous quarter but up 0.2% year-on-year, yielding a penetration rate of 113.9%. CVTelecom led with 68% of active SIMs, while Unitel T+ accounted for 32%. The quarter-on-quarter dip suggests the addressable population is fully covered, leaving little room for subscriber growth.
Behind the Figures: Voice Decline, Fibre’s Rise and a Two-Player Market
Voice Erosion Is Accelerating
The 15% year-on-year slump in fixed-line voice minutes is the most striking number in the report. While part of the quarterly jump is seasonal, the annual decline points to an enduring shift: consumers and businesses are moving calls to over-the-top internet applications and mobile services. For CVTelecom, whose fixed-line revenue has historically leaned on voice, the challenge will be to extract more value from data and broadband before the voice cash cow shrinks further.
Broadband and Fibre: The Real Growth Engine
Fixed broadband’s 12.9% annual expansion—and the fact that one-third of those connections are now fibre—signals where the country’s telecom investment is heading. The rising FTTH/B share against xDSL shows that operators are upgrading infrastructure, a move that will support higher speeds and support data-hungry services. For the economy, improved connectivity can underpin everything from digital government to remote work, but the 9.9% penetration rate also underscores how much headroom remains before broadband becomes near-universal.
A Two-Player Market with Little Competitive Pressure
The combined fixed-plus-mobile landscape is effectively a duopoly. CVTelecom holds an almost absolute fixed-line monopoly and commands over two-thirds of the mobile market. Unitel T+ has carved out a material 32% of mobile SIMs but remains a negligible force in fixed. This concentration means that pricing, service innovation and network investment are largely decided by the incumbent, with only moderate counterweight from the challenger. Without fresh regulatory impetus or new entrants, the pace of change will depend heavily on CVTelecom’s own strategy.
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