In a landmark move for the African telecommunications sector, MTN Group and Airtel Africa have entered into a network-sharing agreement in Nigeria and Uganda. This strategic collaboration aims to optimize operational costs and expand mobile coverage, particularly in underserved regions. Amidst economic challenges such as currency devaluation, both telecom giants are embracing cost-efficiency measures to sustain profitability and enhance service delivery.
Nigeria, the largest market for both companies, presents both opportunities and challenges. The country contributes 40% of MTN Group’s revenue and 34.4% of Airtel Africa’s, yet both companies have faced revenue declines since 2023 due to the devaluation of the naira. The rising cost of network deployment has constrained infrastructure investments, making network sharing a viable solution. Through this agreement, the two operators will jointly utilize towers, base stations, and fiber-optic networks to streamline expenses while improving connectivity, especially in remote areas.
According to MTN Group CEO Ralph Mupita, the partnership is driven by the increasing demand for data services and digital financial solutions across Africa. MTN’s market share in Nigeria reached 51% in January 2025, with an additional three million subscribers bringing its total to 87.5 million. Similarly, Airtel Nigeria expanded its user base from 56.6 million in December 2024 to 57.6 million in January 2025.
“We continue to see strong structural demand for digital and financial services across our markets,” Mupita stated. “To meet this demand, we continue to invest in coverage and capacity to ensure high-quality connectivity for our customers.”
Before this agreement, MTN Nigeria was in discussions with 9mobile, a struggling Nigerian telecom operator, regarding a mobile-roaming arrangement. Under this proposed deal, 9mobile would utilize MTN Nigeria’s infrastructure in specific areas, while MTN would gain access to 9mobile’s spectrum. The negotiation is still ongoing.
This collaboration aligns with regulatory directives. In January 2025, the Nigerian Communications Commission (NCC) approved tariff increases for telecom operators, mandating them to expand infrastructure within three months to enhance service quality. With the new tariffs implemented in February, companies now have only two months left to comply.
Beyond Nigeria and Uganda, MTN and Airtel Africa are exploring further network-sharing opportunities across additional African markets, including Congo-Brazzaville, Rwanda, and Zambia. Potential models under consideration include radio access network (RAN) sharing, fiber-optic infrastructure collaboration, and the joint construction of new fiber networks.
“As we compete in the market through our brand strength and service offerings, we are also working together within the regulatory framework to build shared infrastructure,” said Airtel Africa CEO Sunil Taldar. “This approach allows us to establish a more extensive and reliable digital network while avoiding unnecessary duplication of infrastructure.”
If successful, this partnership could serve as a blueprint for increased collaboration in Africa’s telecom sector, promoting cost efficiency, improved connectivity, and sustainable network expansion across the continent.
