STATE OF THE MEDIA REPORT QUARTER 4, 2020 institutions to begin to diversify revenue sources, especially in view of the forthcoming elections. Overall, the economic environment was as turbulent as the second and third quarters given the instability of most economic fundamentals and the continued effect on the operations of the media in the form of increased cost of production and running of media outlets. Despite less severity of the economic downturn in the fourth quarter, the Coronavirus pandemic continued to negatively affect media houses in view of reduced economic activity which further impacted on the advertising revenue which is the economic mainstay of most media houses in Zambia. The lack of a specific stimulus package targeted at media enterprises as key drivers of democracy and access to information remained as an issue of concern throughout the fourth quarter. Other factors such as continued electricity load shedding exacerbated the situation and overstretched the thin resources on which the media outlets relied. Given the economic trajectory and performance of most fundamentals at the close of the quarter as well as resurgence of COVID-19 (a virulent strain), it is unlikely that the situation will improve for media outlets in the next quarter. 3.4. TECHNOLOGICAL ENVIRONMENT The technological environment in the quarter under review was relatively uneventful as compared to that in the previous quarters, with some major technological developments that could revolutionise the media sector. For example, on 29th December, the Zambia Information and Communication Technology Authority (ZICTA) awarded Airtel Networks a limited radio spectrum in a frequency that is expected to enhance user experience and pave way for introduction of 5G services in Zambia. ZICTA Corporate Communication Manager, Ngabo Nankonde, issued the following: The Zambia Information and Communications Technology Authority (ZICTA) has awarded Airtel Networks Zambia Limited radio spectrum in the 800 MHz frequency band at a cost of USD12.5 million, part of which will be used to enhance the spectrum management functions of the Authority thereby paving way for quick introduction of 5G services in Zambia. A competitive process was used in which a Request for Offer was issued to all eligible international networks licensees (Mobile Network Operators) and Airtel emerged as winner. The spectrum is expected to improve Quality of Service through enhanced voice user experience that will see faster call setup, clearer voice quality and less dropped P a g e 33 | 56