The deployment of the fifth-generation (5G) service in the nation of Nigeria, following an $820.8 million spectrum auction. Statistics have it that the initiation rate by citizens remains sluggish, highlighting the disparity between the nation’s aspirations to excel in next-generation connectivity and the limited uptake by consumers.
Report has it that MTN Nigeria, and other Telecommunications operators such as Airtel Nigeria, and Mafab Communications collectively invested $273.6 million each for a ten-year license. Nevertheless, usage is predominantly confined to major urban areas, where high device prices and low demand result in most subscribers remaining on 4G or 2G networks.
MTN and Mafab were the pioneers in launching services after the NCC’s 2021 spectrum auction, while Airtel obtained its license in a subsequent auction.
Data analysis from the Nigerian Communications Commission indicates that out of Nigeria’s 148,166,926 internet subscribers, less than four per cent, approximately 5.59 million, are utilising 5G, leaving the vast majority dependent on 4G or 2G networks.
The President of the Association of Telecommunications Companies of Nigeria (ATCON), Mr Tony Emoekpere, stated that the current number of operators providing 5G services is adequate, considering the size of the addressable market, with adoption primarily focused in major urban centres like Lagos, Abuja, and Port Harcourt.
The deployment of the fifth-generation (5G) service in the nation of Nigeria, following an $820.8 million spectrum auction. Statistics have it that the initiation rate.
News: FG Approves ₦4bn Each for 12 Universities to Upgrade Engineering, Technology Facilities
”It is only in very urban areas… how many individuals possess 5G handsets? It is not affordable for the average Nigerian,” he told a news outlet, emphasising that 4G continues to be a practical option for most consumers.
The ATCON President noted that Nigeria’s situation mirrors a typical technology transition, as operators are still working on expanding 4G networks throughout various regions of the country. “Even with 4G, we are still rolling out in different areas. So that is the normal trajectory. I do not believe it is a cause for concern,” Mr Emoekpere conveyed to our correspondent.
Telecommunications companies implement specialised 5G infrastructure devices from manufacturers such as Huawei, Nokia, Ericsson, ZTE, and Samsung, which require investments amounting to millions of dollars. The deployment cost for macro 5G gNodeB sites generally ranges from $200,000 to $500,000 each, inclusive of installation expenses. In Nigeria, preliminary estimates from GSMA indicated that 6,000 sites in major cities would total $500 million, suggesting an approximate cost of $83,000 per site, not accounting for spectrum fees.
Recently, GSMA highlighted the status of Nigeria’s 5G network, stating, “Expanding 5G coverage to more sites will be crucial for increasing capacity, as MTN’s data traffic has surged nearly 50 per cent year-on-year. Mafab and Airtel launched their commercial 5G services in January 2023 and June 2023, respectively. Furthermore, Airtel has recently revealed intentions to invest $700 million in its 5G network in Nigeria over the coming years.”
Although the global tally of 5G connections has surpassed one billion, Africa is still in the process of catching up. The International Telecommunication