5G: MTN hopeful on improved uptake

A technology company, MTN Group, has expressed optimism about the adoption of the fifth generation (5G) technology which it has launched in both the Nigerian and South African markets.

In 2018, the telco completed Africa’s first ultra-low latency 5G network indoor and outdoor trials in South Africa, where it launched commercial 5G services in June 2020.

MTN South Africa now has more than 1000 5G sites across several spectrum bands, with plans to significantly scale this up since it procured high-demand spectrum in a landmark auction in March 2022.

MTN Nigeria also secured, via auction, spectrum for the deployment of 5G in 2022, and in December 2021, MTN Côte d’Ivoire launched 5G trials.

Speaking with reporters during the visit of Media Innovation Programme (MIP) Fellows to the Group Headquarters in Johannesburg, South Africa’s biggest city and capital of Gauteng Province, the Group Chief Strategy and Transformation Officer, Chika Ekeji, said the adoption rate of new technology is usually low, adding that with time, the adoption rate of the technology which he put at between 12 per cent and 20 per cent would go up.Represented by the General Manager, Network Sharing Deal Management at MTN Group, Ethisen Mankum, the Group Chief Strategy and Transformation Officer said there has to be a compelling case for the strategy for 5G deployment, adding that fixed wireless access targeted for home users is one such compelling use case.Ekeji said 5G adoption is however going up as modems for homes are available for sale to customers.

While acknowledging the access constraints occasioned by the rather punitive access cost of 5G compatible devices in the markets, he said the telco has started collaborating with original equipment manufacturers (OEMs) such as Huawei and others to explore affordable compatible devices to deepen access.

He however identified the prepaid nature of smartphone acquisition as a major challenge.

Reeling out stats, he said 43 per cent of telecom subscribers in sub-Saharan Africa (SSA) use 2G for calls and short message services (SMS) while only 25 per cent of the total population has access to mobile internet which is projected to rise to 31 per cent by 2030.

He lamented that 65per cent of the populace are either unbanked or under-banked while 90 per cent of the payments across the region is done in cash, underscoring the fact that mobile banking remained a largely untapped opportunity for operators.

Speaking on the telco’s Ambition 2025, with focus on Leading Digital Solutions for Africa’s Progress, he said everyone deserves the benefits of modern connected life.

Anchored on building on the largest and most valuable platforms; drive industry-leading connectivity operations, create shared value, and accelerate portfolio transformation, he said the company prioritises the building of resilient infrastructure in Nigeria with emphasis on portfolio transformation making local operations independent.

He also spoke on inflation which is higher than expected and which has had a crushing impact on the disposable capital of subscribers, adding that there was also the macro-economic issue of currency devaluation which did not only rocked Nigeria, South Africa and Ghana. He nonetheless said there are still what he described as pan-African growth opportunities.

https://thenationonlineng.net/5g-mtn-hopeful-on-improved-uptake/