MTN Group and Airtel Africa have forged a network infrastructure-sharing agreement in Nigeria and Uganda, a strategic pivot aimed at accelerating mobile connectivity in underserved regions.
The telecom giants said in a statement on Wednesday that the partnership reflects a growing shift towards cost optimisation and aims to enhance mobile services, particularly in remote and rural areas where many still lack access to the benefits of modern connected life.
Among the types of agreements considered are Radio Access Network sharing and those focused on establishing commercial and technical agreements for fibre infrastructure sharing, which may include the construction of new fibre networks where necessary.
MTN Group President and Chief Executive Officer, Ralph Mupita, said operators on the continent were seeing sustained demand for data services.
He said, “At MTN, we are driven by the vision of delivering digital solutions that drive Africa’s progress and will 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.”
MTN and Airtel, which control 51.79 per cent and 34.11 per cent of Nigeria’s telecom market, respectively, have both faced significant foreign exchange losses due to the naira’s depreciation.
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, within the permissible regulatory framework.
“This provides 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.”
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.
Airtel Africa operates in 14 countries across sub-Saharan Africa, serving over 156 million customers.
MTN Group’s core operations are in 19 countries in Africa and the Middle East, serving 287 million customers.
