A Landmark Partnership Reshapes Nigeria’s Telecom Landscape: MTN and 9mobile Embrace Network Sharing
In a significant development for Nigeria’s telecommunications sector, MTN Nigeria and 9mobile have embarked on a groundbreaking radio access network (RAN) sharing agreement, poised to reshape the competitive landscape and enhance connectivity across the nation. This landmark partnership, endorsed by the Nigerian Communications Commission (NCC), allows 9mobile, with its approximately three million subscribers, to leverage MTN’s extensive radio access infrastructure while retaining its core network, billing systems, and customer identity. The agreement signals a shift from traditional competition towards a collaborative approach known as “co-opetition,” where operators cooperate on infrastructure while vying for customers based on service quality and innovation.
The strategic alliance comes at a crucial juncture for 9mobile, which has faced substantial challenges in recent years. From a peak of over 23 million subscribers in 2015, the company’s user base has dwindled to around three million, representing a market share of roughly 1.9 percent, the lowest among Nigeria’s mobile network operators. This decline has been attributed to a confluence of factors, including network quality issues, service disruptions, and customer support deficiencies. Subscribers have voiced grievances regarding poor signal strength, slow internet speeds, and unresolved service issues, prompting many to migrate to competing networks. The partnership with MTN, boasting a subscriber base of 90 million, offers 9mobile a lifeline, enabling it to redirect its resources from infrastructure expansion to service enhancement and innovation.
The collaboration marks a paradigm shift in the Nigerian telecom industry, demonstrating a move towards infrastructure optimization and resource efficiency. Traditionally, operators have focused on building and maintaining their own independent networks, leading to duplication of infrastructure and potentially wasteful capital expenditure. The MTN-9mobile agreement exemplifies a more sustainable approach, allowing both companies to benefit from shared resources while focusing on differentiating themselves through service offerings and customer experience. This model is particularly relevant in markets like Nigeria, where spectrum and capital resources can be constrained. By sharing infrastructure, operators can mitigate costs, accelerate broadband penetration, and improve service quality, ultimately benefiting consumers.
The agreement is expected to yield several tangible benefits for both operators and consumers alike. For 9mobile, the partnership provides access to MTN’s extensive network coverage, allowing it to enhance its service footprint, particularly in underserved areas. This improved coverage can attract new subscribers and retain existing ones, potentially reversing 9mobile’s declining market share. Moreover, the agreement frees up capital for 9mobile to invest in service quality improvements, customer support enhancements, and innovative offerings, enabling it to compete more effectively with its rivals. For MTN, the partnership generates revenue from sharing its infrastructure, contributing to its bottom line while promoting industry-wide efficiency.
For consumers, the partnership promises improved mobile coverage, faster internet speeds, and more reliable service, especially in areas where network coverage has been historically limited. The agreement’s focus on infrastructure optimization can also lead to accelerated broadband penetration, a key objective of Nigeria’s National Broadband Plan. This enhanced connectivity can empower individuals, businesses, and communities by providing access to information, education, healthcare, and other essential services.
The partnership has been lauded by industry stakeholders and government officials as a progressive step for the Nigerian telecom sector. The NCC and the Minister of Communications, Innovation and Digital Economy have expressed support for infrastructure sharing initiatives, recognizing their potential to improve service quality, reduce costs, and accelerate broadband penetration. The agreement reflects global best practices in the telecom industry, where shared infrastructure models have become increasingly prevalent, particularly in markets with limited resources. The MTN-9mobile partnership serves as a model for other operators to emulate, fostering collaboration and innovation within the Nigerian telecom ecosystem.
The pilot phase of the RAN sharing agreement is already underway in select locations, with a nationwide rollout anticipated by the end of July, contingent on successful system stability validation. Both MTN and 9mobile have expressed confidence in the partnership’s potential to transform the Nigerian telecom landscape, creating a more efficient, sustainable, and customer-centric industry. By embracing collaboration and innovation, these two operators are setting the stage for a new era of connectivity in Nigeria, where shared infrastructure unlocks new possibilities and benefits for all stakeholders.
