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GSMA Report Favours Competition over Wholesale Networks

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The GSMA has released a new report that predicts a move away from traditional mobile network competition towards single wholesale networks1 which would stifle innovation, restrict investment and take-up of mobile broadband services and ultimately be against consumer interests.

Developed by Frontier Economics, the report, “Assessing the Case for Single Wholesale Networks in Mobile Communications”, examines whether single wholesale networks could meet a government’s objective for improved coverage and explores more effective ways to achieve the same goal.

The report analyses the historic performance of countries with a single network compared to those with multiple competitors to consider how a single wholesale network would likely perform in practice. It finds that in countries with competing networks, 3G covered 36 per cent more population and that overall coverage increased three times faster than in those served by a single network2.

“In 2000, there were as many countries served by a single mobile network as there were those with competing networks. Today only 30 countries, representing less than three per cent of the world’s population, are served by a single network,” said Tom Phillips, chief regulatory officer, GSMA.

“Network competition has produced unprecedented growth and innovation in mobile services, with 3.7 billion unique mobile subscribers globally in 2014, more than US$1.7 trillion of total worldwide investment since 2002 and mobile 3G broadband coverage reaching over half of the world’s citizens3. This indisputable success story should continue in the era of mobile broadband, across the globe and particularly in emerging markets.”

Comparing Single Wholesale Networks with Network Competition

 Advocates of single wholesale networks argue they can respond to issues such as inadequate or slow coverage in rural areas, inefficient use of spectrum and a lack of incentives for the private sector to maximise coverage or investment better than the model of network competition. However, the report demonstrates that the existing approach of network competition offers better long-term benefits:

Network Coverage – Some supporters of single wholesale networks claim they will deliver greater network coverage than network competition. The new report finds this often reflects the existence of public subsidies and other forms of support for the monopoly wholesale network model rather than any inherent advantage over competing network operators.

Innovation and New Services – The report finds that, in practice, single networks typically take 12 to 18 months longer to perform upgrades and embrace new technologies such as 3G, limiting the availability of new services for consumers, reducing quality and increasing costs.

Uncertainty for Investors – When initially established, single wholesale networks would have to co-exist for some period with existing networks.

This will likely lead to a distortion of competition in the market, increasing uncertainty both for those investing in the single wholesale networks and for those investing in existing networks, leading to less investment in mobile broadband services.

Impact of Monopolies – In the longer term, single wholesale networks would need to evolve into regulated monopolies to meet their key objectives.

As monopolies, single wholesale networks will always have incentives to keep prices high and limit investment and will have little impetus to innovate.

Although regulation of the network may attempt to overcome some of these problems, experience shows that this will be difficult in practice and will not match the performance of competing networks. 

Subsidising Network Competition – Although publicly-funded single wholesale networks could be used to deliver coverage in areas into which privately funded competing networks might not be able to serve, the report suggests that policy makers should consider measures to extend the benefits of network competition to those areas rather than replacing competition with monopoly.

This includes imposing coverage obligations at the time of licence award for new spectrum, particularly in low frequency 700MHz and 800MHz bands, and other forms of subsidy such as the award of contracts to cover particular areas using public funds.

Policy makers in a number of countries have been considering establishing a single wholesale network instead of relying on competing mobile networks to deliver 4G mobile broadband services, but there are currently no nationwide initiatives in action.

“No single wholesale network has been fully implemented in any country in the world yet and designing, financing and implementing these networks will likely prove highly challenging. We believe that a radical departure from the approach of licensing competing mobile operators, favoured by policy makers for the past 30 years, would harm a nation’s consumers, businesses and economy,” added Phillips.


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NCC, REA Move to Power Telecoms with Renewable Energy

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Nigerian Communications Commission (NCC) and Rural Electrification Agency (REA) have teamed up to develop an initiative that will reduce the $350 million annual spending on diesel by telecom operators in Nigeria.

NCC, REA Move to Power Telecoms with Renewable Energy

According to a press statement  by Nnenna Ukoha, acting had of Public Affairs, NCC, this collaboration will focus on deploying renewable energy solutions to support telecom infrastructure, particularly in rural and underserved areas.

To that end, the two agencies have inaugurated what they called NCC–REA Collaboration Committee, aimed at deploying renewable energy solutions to power telecom infrastructure across the country.

According to the State of Africa’s Infrastructure Report 2025 by the Africa Finance Corporation, telecom operators in Nigeria consume more than 40 million litres of diesel every month, costing them over $350 million annually.

The statement read, “The Nigerian Communications Commission has formally inaugurated the NCC–REA Collaboration Committee, marking a pivotal step towards advancing Nigeria’s digital and energy inclusion objectives by developing modalities for the deployment of renewable energy to support telecom infrastructure in Nigeria.”

The inauguration ceremony, held on Friday, at the NCC Headquarters in Abuja, was presided over by Dr Aminu Maida, executive vice chairman and chief executive officer, NCC.

Maida was joined by Abba Aliyu, managing director of the REA, along with senior executives and committee members from both organisations.

Speaking at the event, Maida described the collaboration as a timely and strategic alignment of national priorities.

He noted that bridging the connectivity and power gaps in rural areas remains critical for Nigeria’s growth and development.

He highlighted that the demand for digital services and connected communities creates an opportunity for renewable energy to play a crucial role.

Maida further emphasised that the partnership goes beyond infrastructure; it is aimed at driving inclusion, reducing inequalities, and fostering shared prosperity.

“Whether it is powering a base station or enabling a child to access digital learning, this partnership has the potential to transform realities and bring opportunity closer to the people.

“This initiative is about more than infrastructure, it is about driving inclusion, bridging inequalities and creating the conditions for shared prosperity,” he was quoted in the statement.

He also noted that the initiative aligns with President Bola Tinubu’s Renewed Hope Agenda, which aims to ensure no community is left behind in Nigeria’s energy and digital transformation.

Aliyu, representing REA, expressed confidence in the transformative potential of the collaboration.

“This partnership will unlock sustainable development opportunities for millions of Nigerians, especially those in areas lacking traditional infrastructure,” he said.

He further emphasised that the collaboration would address both energy and connectivity gaps, benefiting those who are currently underserved.

The newly established NCC-REA Collaboration Committee will work to co-develop and implement integrated solutions that leverage renewable energy to power telecom sites.

The statement noted that the committee will also focus on sharing geospatial data to improve planning, aligning funding frameworks, and tracking the socio-economic impact of the project through clear performance indicators.

 


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NCC Approves MTN, 9Mobile Roaming Collaboration Deal

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MTN Nigeria Communications Plc has announced the execution of a national roaming agreement with Emerging Markets Telecommunications Services Limited (9Mobile), a move that signals a major milestone in Nigeria’s telecommunications landscape.

NCC Approves MTN, 9Mobile Roaming Collaboration Deal

The Nigerian Communications Commission (NCC), the industry’s regulatory authority, has approved the three-year deal, which allows 9Mobile subscribers to roam seamlessly on MTN Nigeria’s extensive network infrastructure across the country.

The agreement, effective immediately, will significantly enhance connectivity and user experience for 9Mobile customers, particularly in areas where its network coverage is limited.

By leveraging MTN’s expansive infrastructure, 9Mobile can now offer improved service reach and reliability, without duplicating capital-intensive investments in network deployment.

In a notice to the Nigerian Exchange Limited and the investing public, MTN Nigeria described the arrangement as a strategic collaboration that underscores its leadership in fostering innovation, industry cooperation, and operational efficiency.

The company emphasized that the initiative aligns with the NCC’s broader objective of promoting infrastructure sharing to improve telecommunications services nationwide.

“This agreement represents a significant step in our commitment to driving industry collaboration, improving customer experience, and supporting the NCC’s vision of a fully connected Nigeria,” said Karl Toriola, chief executive officer, MTN Nigeria.

“Delivering the scale required for telecommunications services in Nigeria requires strong collaboration between the private sector, public sector, and long-term investors. This agreement demonstrates what we can achieve when we collaborate, and we are delighted to announce it today after months of groundwork.”The national roaming deal enables subscribers from 9Mobile to access voice and data services through MTN’s network in areas where the former lacks adequate coverage.

This marks the first such large-scale, cross-network roaming arrangement between two major operators in Nigeria, setting a precedent for future cooperative efforts in the telecom industry.

MTN Nigeria highlighted that the agreement contributes to more effective use of telecommunications resources, reduces infrastructure duplication, and accelerates the expansion of mobile broadband access across underserved regions.

It also supports both operators’ sustainability objectives by maximizing existing investments and reducing the environmental impact of deploying overlapping network facilities.

“This strategic collaboration is yet another first in the country by MTN Nigeria and marks a significant milestone for the sustainability of the telecommunications industry,” the company stated.

“By enabling national roaming, MTN Nigeria is contributing to a more effective use of telecommunications resources and accelerating efforts to expand connectivity across the country.”

The agreement is expected to benefit not just subscribers and operators but also regulators and investors who have consistently advocated for policies that promote shared infrastructure and efficient capital utilization in Nigeria’s digital economy.

Uto Ukpanah,  company secretary, MTN Nigeria, affirmed the company’s ongoing dedication to initiatives that create shared value.

“MTN remains committed to fostering innovation and partnerships that create sustainable value for all stakeholders while promoting digital and financial inclusion nationwide,” she noted.

With the successful rollout of this agreement, the telecoms industry is expected to see improved service delivery and expanded access to quality mobile services, especially in rural and semi-urban communities. The collaboration sets a benchmark for future inter-operator partnerships and reinforces the importance of regulatory support in advancing national connectivity goals.

 

 

 

 


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Don’t Visit Telecom Centers for Now — ALTON Warns of SIM Service Downtime

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Association of Licensed Telecommunications Operators of Nigeria (ALTON) has announced a temporary disruption in SIM-related services across all mobile networks in the country.

The disruption, according to a statement on Wednesday, follows a directive from the National Identity Management Commission (NIMC), mandating mobile network operators (MNOs) to migrate to a new identity verification platform.

ALTON said the transition had triggered unforeseen technical challenges, affecting services such as SIM registration, replacement, and mobile number portability.

“While the new platform is intended to enhance the integrity and efficiency of identity management in Nigeria, unfortunately, the transition has temporarily impacted service delivery,” the association stated.

It added that MNOs would not be able to support SIM swaps, new activations, and related services until the issues are resolved.

ALTON noted that its members are working closely with the Nigerian Communications Commission (NCC), NIMC, and other stakeholders to restore normalcy.

The association appealed for public understanding and urged subscribers to delay visits to service centers for SIM-related matters.

“We sincerely apologise for the inconvenience and will continue to provide timely updates,” the statement read.

ALTON reaffirmed its commitment to delivering secure and quality telecommunications services to Nigerians.


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