In order to ensure adherence to regional legal and regulatory standards, MTN Group and Airtel Africa have signed agreements to share network infrastructure in Uganda and Nigeria.
This is a network-sharing contract that would increase the reach of mobile services, reduce network costs, and give millions of customers especially those in underserved rural areas better connection.
In a joint statement issued on Wednesday, the two businesses stated that the collaboration will strengthen their determination to expand financial and digital inclusivity throughout Africa.
Improved network cost efficiency, increased coverage, and the delivery of improved mobile services to millions of users especially those in rural and isolated locations who have yet to fully benefit from a contemporary connected life are the goals of these sharing agreements.
Ralph Mupita, president and CEO of MTN Group, emphasized the growing need for data services throughout the continent. “At MTN, our mission is to provide digital solutions that propel Africa’s development. In all of our areas, there is still a significant fundamental need for financial and digital services. Fulfilling the demand for digital services, he stated that the alliance will assist in meeting the ongoing demand for digital services from operators throughout the continent.
“At MTN, our mission is to provide digital solutions that propel Africa’s development. In all of our areas, there is still a significant fundamental need for financial and digital services.
Network sharing offers a chance to increase productivity and boost profits, Mupita said.
In order to satisfy this demand, we keep making investments in capacity and coverage to give our customers high-quality connections and access. Nevertheless, he stated that regulatory frameworks offer chances to pool resources in order to increase productivity and boost profits.
The two businesses are putting aside their rivalry in order to accomplish a shared objective, according to Sunil Taldar, CEO of Airtel Africa.
Sunil Taldar, offered his thoughts on the advantages of shared infrastructure. “Network sharing within the acceptable legislative framework enables us to deliver a more robust digital highway, even if we are still dedicated to competing fiercely on brand strength, service quality, and products.
“It helps prevent needless infrastructure duplication, which results in operational efficiencies that benefit our customers,” Taldar stated.
We are building common infrastructure, within the allowable regulatory framework, to provide a more robust and extensive digital highway to drive digital and financial inclusion while avoiding duplication of expensive infrastructure to drive operational efficiencies and benefits for our customers, as we compete closely in the market on the strength of our brand, services, and offerings,” he said.
Implications of this is that the project fits into the expanding worldwide network sharing trend. Telecommunications companies can work together to investigate creative and pro-competitive ways to raise service quality and better control costs.
More and more customers throughout Africa may be able to receive dependable, top-notch mobile services thanks to the sharing of infrastructure.
MTN and Airtel Africa are investigating a number of prospects in additional markets, such as Congo-Brazzaville, Rwanda, and Zambia, subsequent to the conclusion of agreements in Uganda and Nigeria.
Network sharing arrangements, such fibre infrastructure partnerships and Radio Access Network (RAN) sharing, are intended to save operating costs while providing more locations with dependable services.
Among the sorts of agreements proposed are RAN sharing and those aimed at creating commercial and technical agreements for fibre infrastructure sharing and, if necessary, the development of fibre networks.
In order to reap the benefits of network sharing, MTN Group and Airtel Africa stated that they are committed to collaborating with other mobile carriers in the nations where they operate.
The parties will be free to compete in common marketplaces and operate as separate market entities during this procedure.
Additionally, by accelerating the implementation of cutting-edge technology, the cooperation may help the area undergo a digital transformation.
Similar prospects are currently being investigated by MTN Group and Airtel Africa in other African markets, including Congo-Brazzaville, Rwanda, and Zambia.
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