MTN Group and Airtel Africa have
entered into agreements to share network infrastructure in Uganda and Nigeria,
while ensuring compliance with local regulatory and statutory requirements.
These
sharing agreements target improved network cost efficiencies, expanded coverage
and the provision of enhanced mobile services to millions of customers,
particularly those in remote and rural areas who do not yet fully enjoy the
benefits of a modern connected life.
MTN Group
President and Chief Executive Officer Ralph Mupita said operators on the
continent were seeing sustained demand for data services: “As MTN, we are driven by the vision of
delivering digital solutions that drive Africa’s progress. We continue to see
strong structural demand for digital and financial services across our markets.
To meet this demand, we continue to invest in coverage and capacity to ensure
high-quality connectivity for our customers. That said, there are opportunities
within regulatory frameworks for sharing resources to drive higher efficiencies
and improve returns.”
Airtel
Africa Chief Executive Officer Sunil Taldar said: “As we
compete fiercely in the market on the strength of our brand, services and our
offerings we are building common infrastructure, with in the permissible
regulatory framework, to provide a more robust and extensive digital highway to
drive digital and financial inclusion at the same time avoiding duplication of
expensive infrastructure to drive operational efficiencies and benefits for our
customers”.
The
initiative is part of a growing global trend toward network sharing. By
collaborating, telecoms operators can explore innovative and pro-competitive
solutions to improve service quality while managing costs more effectively. The
sharing of infrastructure has the potential to enable the delivery of
world-class, reliable mobile services to more and more customers across Africa.
Following
the conclusion of agreements in Uganda and Nigeria, MTN and Airtel Africa are
exploring various opportunities in other markets, including Congo-Brazzaville,
Rwanda and Zambia. Among the types of agreements considered are RAN sharing and
those aimed at establishing commercial and technical agreements for fibre
infrastructure sharing and, if necessary, the construction of fibre networks.
MTN Group
and Airtel Africa are dedicated to working with other mobile operators within
the countries in which they have a presence to achieve the advantages of
network sharing. Throughout this process, the parties will continue to function
as independent market entities and will compete freely in shared markets. This
engagement does not preclude the parties from collaborating with other
operators in any respective market.