NCC advocates infrastructure sharing to help reduce telecom costs in Nigeria. Remember just recently, last week to be precise, Nigerian telcos considered spiking the prices for calls and data.
They have been suffering financially, with MTN Nigeria in question reporting a huge loss due to the Naira dropping in value, and Airtel’s revenue was also affected.
NCC Advocates Infrastructure Sharing
In a bid to address challenges facing Nigeria’s telecom sector, the Nigerian Communications Commission (NCC) has proposed infrastructure sharing among telecom operators as a strategy to improve service delivery and reduce costs.
This proposal comes amidst discussions at a recent telecom summit in Lagos, where industry leaders deliberated on ways to enhance telecom infrastructure and services in the country.
The Association of Licenced Telecom Operators of Nigeria (ALTON) highlighted the enduring economic pressures faced by telecom operators, underscoring the regulatory constraints that have prevented price adjustments for over a decade.
Despite Nigeria boasting over 219 million mobile subscribers, challenges such as inadequate infrastructure and subpar service persist, indicating the need for innovative solutions.
NCC’s Proposal
Aminu Maida, representing the NCC, emphasized the importance of collaboration between the government, businesses, and educational institutions to drive innovation in the telecom sector.
The NCC contends that the setup and maintenance of telecom infrastructure entail significant costs, prompting the suggestion of infrastructure sharing among operators. This approach aims to optimize resource utilization and enhance service quality across the industry.
Infrastructure Sharing Model
The concept of infrastructure sharing involves telecom operators jointly utilizing existing infrastructure, such as towers and fiber optic cables, rather than each operator independently deploying its infrastructure.
By sharing infrastructure, operators can reduce capital expenditure and operational costs while improving network coverage and quality of service.
Exploring New Payment Models
In addition to infrastructure sharing, the NCC proposes exploring alternative payment models like Infrastructure as a Service (IaaS). This model involves operators paying for infrastructure usage on a subscription basis, allowing for more flexible and cost-effective arrangements.
Harnessing Technology
Maida highlighted the potential of leveraging advanced technologies such as Artificial Intelligence (AI) to enhance network efficiency and intelligence. By incorporating AI-driven solutions, telecom operators can optimize network management, predict and prevent service disruptions, and deliver a more seamless user experience.
Envisioning the Future
Looking ahead, Maida discussed the transformative impact of emerging technologies like 5G and even 6G on various industries, including agriculture and healthcare. The deployment of next-generation networks has the potential to revolutionize sectors by enabling real-time data transmission, remote monitoring, and IoT connectivity.
Conclusion
As Nigeria’s telecom sector navigates challenges and embraces opportunities for innovation, the NCC’s advocacy for infrastructure sharing and technological advancements signals a proactive approach to address longstanding issues.
By fostering collaboration and embracing cutting-edge solutions, the telecom industry can unlock new efficiencies, improve service delivery, and pave the way for a digitally empowered future.
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