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3.5GHz Spectrum: MTN, Mafab Pay for Licences

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MTN Communications Nigeria Plc and Mafab Communications Limited, have made their full payment of $273.6 million each for the 5G Spectrum license to the Nigerian Communications Commission.

Dr. Ikechukwu Adinde, director, Public Affairs, NCC, in a statement noted that Prof. Umar Danbatta, executive vice chairman of the Nigerian Communications Commission (NCC) has officially confirmed the payment status on Thursday, February 24, 2022, just as the deadline set for the two winners of the spectrum auction elapsed.

As part of the auction process emplaced by the Commission in the Information Memorandum (IM), three companies, namely MTN Nigeria, Mafab Communications Ltd and Airtel Networks Ltd submitted bids with an initial bid deposit (IBD) of $19.74 million, representing 10 per cent of the Reserve Price of the 3.5GHz Spectrum by the close of the Bid submission date of November 29, 2021.

Following the successful auction on December 13, 2021 and the emergence of MTN and Mafab as winners, they were required to pay the balance of the bid amount of $253.86 million on or before February 24, 2022.

However, aside the $273.6 million payment, MTN paid additional $15.9 million, being the bidding sum it offered at the assignment state of the spectrum auction, making it clinch its preferred Lot 1 (3500-3600 Megahertz-MHz) in the 3.5Ghz spectrum; while, Mafab Communications, which bided lower at the assignment stage, consequentially settled with Lot 2 (3700-3800Mhz) at no extra cost.

Confirming the payments by the two licensees, Danbatta said: “I wish to officially announce that NCC has received and confirmed payments from MTN and Mafab for their acquisition of 1 slot of 100Mhz each in the 3.5Ghz spectrum auction, which was successfully conducted by the Commission on December 13, 2021. They both met the deadline of February 24, 2022 as set by the Commission.

“Arising from this and on behalf of the Honourable Minister of Communication and Digital Economy, the Board and Management of the NCC, I wish to congratulate the MTN and Mafab for this feat, as we look forward to accomplishing other deployment timelines in our 5G deployment roadmap, as articulated in the National Policy on 5G Networks for Nigeria’s Digital Economy.”

For meeting the payment deadline, Danbatta has commended the two companies for their commitment to 5G deployment drive through their private investments, which he said, was a demonstration of the licensees’ belief in the sound regulatory environment in the Nigerian telecommunications sector.

Danbatta also expressed appreciation to the Federal Government for its support and commitment to the deployment of 5G technology in Nigeria which, he said, will bring substantial network improvements, including higher connection speed, mobility and capacity, as well as low-latency capabilities to communications services in Nigeria.

The Commission published a Public Notice on its decision to award two lots of 100MHz Time Division Duplex (TDD) available in the 3.5 GHz band through an auction process to support the delivery of ubiquitous broadband services for the deployment of 5G technology in Nigeria.

Subsequently, an Information Memorandum (IM) was issued on November 10, 2021, in which Bid Applications for the available spectrum lots were invited. By the deadline for receipt of applications on November 29, 2021, the Commission received applications from three licensed telecommunications companies, viz: Airtel Networks Limited, Mafab Communications Limited, and MTN Communications Nigeria Plc.

The Auction held successfully on Monday, December 13, 2021 at the Transcorp Hilton Hotel, Abuja with the three bidders competing for the available two lots in which the Commission adopted the Ascending Clock Auction format that ended after Round 11 and proceeded to the Assignment Stage.

In the auction, MTN and Mafab emerged provisional licence winners and arising from this, the winning bid price for the auction was put at $273.6 million for each lot of 100 MHz TDD. The Provisional licence winners were then directed to pay the Winning Bid Price less the Intention-to-Bid Deposit, by February 24, 2022.

Industry stakeholders and observers have commended the Commission for the auction process, described as efficient, fair, well-organised and transparent; as well as designed to deliver the ideal outcome which saw the strongest bidders emerge as winners, raising a substantial amount for the Federal Government and setting the stage for the next phase in Nigeria’s 5G roadmap.

 

 


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

Telecom

PMCRG Invokes FoI, Asks NCC to Disclose Findings on Telecoms Competition Landscape

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Pervasive and Mobile Computing Research Group (PMCRG), a specialised re­search arm within Obafemi Awolowo University’s (OAU) Africa Centre of Excellence (ACE) ICT-Driv­en Knowledge Park, has formally requested the Nigerian Communications Commission (NCC) to release findings of a 2022 study on the telecommunications competition land­scape in Nigeria.

PMCRG Invokes FoI, Asks NCC to Disclose Findings on Telecoms Competition Landscape

Prof. Adeniran Oluwaranti, coordinator, PMCRG, in a statement, said that the request was made under the Freedom of Informa­tion Act (FOI), which underscores PM­CRG’s commitment to driving trans­parency and innovation in Nigeria’s rapidly evolving ICT sector.

According to Prof Adeniran, the NCC engaged the globally renowned consulting firm, PricewaterhouseC­oopers (PwC), in 2022 to assess com­petition in the critical areas of colloca­tion and infrastructure sharing (CIS) within the telecom industry.

However, despite the completion of the study, its findings have not yet been made public.

Oluwaranti led PMCRG, is seeking access to this report to support academic research, policy formation, and industry-wide inno­vations.

Oluwaranti explained the importance of the report and how the lack of transparency could slow progress in the telecom industry.

“The findings of the 2022 NCC study have the potential to impact both consumers and businesses sig­nificantly. For consumers, the report could shed light on the level of compe­tition in the telecom market, helping regulators ensure fair pricing and service quality.

“For businesses, the study could identify new opportunities for infra­structure sharing and improved market access.

“Ultimately, this report could lead to policy decisions that shape the fu­ture of Nigeria’s telecom landscape, ensuring that it remains competitive and innovative,” said Prof. Oluwaran­ti.

Oluwaranti, expressed optimism about the release of the report.

“We are hopeful that the NCC will adhere to the FOI request and release the report. Transparency is key to fostering an innovative and compet­itive telecommunications sector. We believe that having access to this data will benefit not only the academic community but also the entire coun­try by promoting evidence-based pol­icy making,”.

“The CIS segment is crucial to fos­tering competition in Nigeria’s tele­communications landscape. With the report’s findings, give stakeholders a clearer understanding of the current competitive landscape, the challenges, and the growth opportunities. This is vital not only for improving regula­tory frameworks but also for driving innovation in areas like 5G/6G net­works, cybersecurity, and rural con­nectivity”, the statement reads.


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NCC Plans 6G Spectrum Deployment to Expand Wi-Fi Access

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Nigerian Communications Commission (NCC) has announced plans to deploy the 6G spectrum in Nigeria to enhance access to Wi-Fi technology.

NCC Plans 6G Spectrum Deployment to Expand Wi-Fi Access

Speaking on Thursday at a consultative forum on emerging technologies in Lagos, Aminu Maida, executive vice-chairman of the NCC, highlighted the need for efficient management and utilisation of spectrum resources.

The event, tagged ‘The Use of 6GHz (5925-7125) MHz for WiFi and IMT Applications in Nigeria’, sought input from stakeholders on how the new frequency band can be optimally used.

Maida, represented by Abraham Oshadami, executive commissioner of technical services at the NCC, explained that existing spectrums, including 5G and 2G, are becoming congested due to increasing demand, necessitating the introduction of additional frequency bands such as 6GHz.

“The 6GHz band offers a substantial increase in available spectrum, crucial for supporting the growing demand for high-speed internet and advanced applications,” Maida said.

“Wi-Fi plays a crucial role in the distribution of fixed broadband connectivity in homes, offices, and various other environments.”

Maida further explained that with Wi-Fi 6, users will benefit from increased capacity, enabling seamless connectivity for emerging technologies such as virtual reality (VR) and augmented reality (AR), which current spectrums cannot fully support.

He added that the introduction of unlicensed Wi-Fi 6 will lower the cost of internet access.

Caroline Alenoghena, a telecommunications engineering professor at the Federal University of Technology, Minna, stated that the introduction of the new spectrum is necessary to reduce congestion in existing Wi-Fi frequencies.

She noted that the 6G band would create new opportunities for start-ups in the digital services sector.

Tony Emoekpere, president of the Association of Telecommunications Companies of Nigeria (ATCON), emphasized that the proper allocation of the 6G spectrum would enable the deployment of diverse technologies and help democratise access to urban, semi-rural, and rural areas.

He said, “Foreseeable challenges are things like infrastructure requirements, the whole of investment that’s required, competing technologies, because some of these technologies are still being developed.”

Emoekpere described the consultative forum as standard practice in the industry to ensure that all stakeholders are involved in the development of new technologies and policies.

 

 

 


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IFC, Airtel Africa Partner to Increase Access to High-speed Mobile Connectivity in sub-Saharan Africa

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IFC has provided new financing to three of Airtel Africa plc’s subsidiaries with the aim of bringing high-speed mobile connectivity to more than 37 million subscribers in sub-Saharan Africa.

IFC’s $200 million loan will support the expansion and modernization of Airtel Africa’s network, as well as further investment into its distribution infrastructure, with a continued focus on rural areas.

Across Africa, approximately 600 million people lack access to 4G mobile coverage. In many countries across sub-Saharan Africa, the availability of mobile internet, and network performance, are below regional averages.

Despite this connectivity gap, up to 86 percent of firms on the continent use mobile phones for business operations, according to IFC’s recent report on digital connectivity in Africa. IFC’s financing is intended to help close this gap.

The new financing will take the form of a sustainability-linked loan, with key performance indicators related to the main pillars of Airtel Africa’s sustainability strategy: digital connectivity focused on smartphone adoption rates, financial inclusion for women, and gender balance within Airtel Africa’s own management team.

These three metrics will contribute to bridging the digital divide in Africa and support the equitable distribution of economic opportunities, poverty reduction, and financial stability across the continent. Most of the financing package is denominated in local currency, which IFC is providing to reduce the impact of currency volatility.

“IFC’s partnership with Airtel is critical to expanding high-speed connectivity in Africa,” said Mary Porter Peschka, IFC’s Regional Director for Eastern Africa. “Better connectivity means more opportunity. Our work with Airtel will help millions more people not only to come online but also gain access to high-speed networks so that they can better leverage the digital economy opportunities.”

With limited banking infrastructure in East Africa, mobile network operators are, in many cases, the only providers of financial services for consumers in these markets. In particular, women are especially reliant on this form of mobile banking.

Increasing digital connectivity is therefore a way to increase financial and gender inclusion.

Airtel Africa intends to partner with local and regional financial institutions to further enhance the mobile money eco-system by providing additional financial services to all customers across the region, further enabling the economic empowerment of women.

Airtel Africa’s Group CEO, Sunil Taldar said: “The expansion of our network is critical to our ambition of bridging the digital divide across Africa. This ambition can only be unlocked through continued investment into the region, and we welcome the partnership with IFC to enable this and further support our sustainability strategy of transforming lives and building better futures for communities across Africa.”


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