MTN Group and Airtel Africa have signed an agreements to share mobile network infrastructure in Nigeria and Uganda on Wednesday, March 26. This collaboration aims to reduce investment costs while expanding service coverage, more in rural and underserved areas.
“There are opportunities within regulatory frameworks for sharing resources to drive higher efficiencies and improve returns,” MTN Group CEO Ralph Mupita said in a statement.
The partnership allows both companies to meet the growing demand for digital and financial services without the high expenses associated with building and maintaining separate networks, especially as they transition to 5G technology. They also plan to explore similar opportunities in other African markets, including Congo-Brazzaville, Rwanda, and Zambia
Airtel Africa CEO Sunil Taldar stated that ‘’the agreement would help avoid the duplication of costly infrastructure. Sharing infrastructure allows operators to expand their network coverage more quickly, especially in rural or less densely populated areas where building separate networks may not be economically viable”.
Moreover, the deals being considered include sharing radio access networks, which make up the biggest part of the cost in building and running networks; agreements for sharing fiber infrastructure; and, if necessary, building fiber networks, they added
In Rwanda, this collaboration could lead to improved network coverage and quality, enhancing mobile services for customers. However, specific details about the implementation and timeline within Rwanda have not been disclosed.
