Telecom operators such as MTN and Airtel are increasing investments in infrastructure across Nigeria, which will result in more Nigerians moving to 4G and 5G networks. MTN Nigeria CEO Karl Triola said in a recent investor call that the number of 4G sites at the company has increased by 2.7% and his 4G adoption rate among users has increased from 79.1% to 81.5%. announced that it did.
MTN saw a significant increase in 5G sites, increasing from 588 to 2,106, and 5G usage increased from just 3.1% to 11.3%. Meanwhile, Airtel has launched its 5G network in four major cities including Lagos and Abeokuta and is currently in the process of testing this network in Osogbo.
According to MTN Nigeria and Airtel Africa’s regulatory documents, the companies have spent a total of ₦613 billion on expanding their 4G and 5G networks by the end of 2022. Specifically, MTN allocated ₦504.3 billion for network development, while Airtel spent ₦108.79 billion. 1 billion over the same period. This investment coincides with a notable response from smartphone manufacturers, which are increasing the supply of devices compatible with 4G and 5G networks. This is reflected in Canalys’ report, which highlights that smartphone deliveries to Africa will increase by his 12% in 2023.
By January 2024, TECNO had emerged as the market-leading smartphone brand with a share of 26.03%. This is closely followed by Infinix, another brand from the same parent company, with his share of 20.88%. Samsung secured 3rd place with 11.43% market share and Apple maintained 4th place with 9.66% market share.
According to data from the Nigerian Communications Commission (NCC), as of December 2023, 5G subscribers accounted for 1.04% of Nigeria’s internet users, while 31.33% were on 4G. The report also showed that the number of 3G subscriptions remained at 2.18 million, and although its usage is decreasing, 2G remains dominant, accounting for 57.84% of mobile internet subscriptions.
The number of 4G and 5G subscribers continues to grow despite facing challenges such as supply chain disruptions and inflation, which has led to a 30% rise in smartphone prices, according to a GSMA report. This growth can be attributed to the collaboration of telcos, asset finance companies and smartphone manufacturers who have introduced flexible financing options to alleviate financial pressures.
The collaboration between Airtel and iTel will give customers access to a range of affordable smartphones. Airtel Nigeria Public Relations Officer Sam Adeoye said these agreements will make it easier for subscribers to obtain 4G/5G devices and routers. Aisha Husseini, founder of device financing startup Keza Africa, said rising inflation in Nigeria has increased interest in smartphone financing. She pointed out that due to the weak naira, individuals who previously did not consider financing their devices are now opting to do so.
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