(Ecofin Agency) - Airtel acquired its license to provide 5G services to the Nigerian population in January 2023. Competitors Mafab Communications and MTN have already deployed the technology in the country, in a context marked by high demand for high-speed connectivity.
Nigerian mobile operator Airtel Mobile announced last week that it will soon launch its fifth-generation (5G) mobile network in the country. The company promises subscribers speeds up to 100 times faster than 4G, ultra-low latency, and increased network capacity.
About six months ago, it acquired additional frequencies from the Nigerian Communications Authority (NCC) for $316.7 million, to improve the quality of its 4G network and launch 5G. In May, it also renewed its 3G license, which will now expire in 2032.
By launching the 5G, Airtel will make its true entry into the ultra-broadband segment hitherto dominated by MTN, which launched the latest-generation technology in September 2022. Mafab Communications has also been providing 5G services since January this year.
The launch is expected to boost competition in the Nigerian telecoms market since the operator will attract new customers and improve its market share. According to the latest NCC data, the company controls 27.01% of the national mobile subscriber base. Competitors 9mobile, Globacom and MTN have market shares of 6%, 27.28%, and 39.70% respectively.
The launch of Airtel's 5G network should also reinforce the Nigerian authorities' digital transformation ambitions by accelerating broadband adoption. It will also bring the NCC closer to achieving the target set in Nigeria's National Broadband Plan (NNBP 2020 - 2025) namely 90% broadband penetration by 2025, well beyond 50% by the end of 2023.
Isaac K. Kassouwi