A strategic infrastructure sharing agreement has been announced by Airtel Africa and Vodacom group. The sharing agreement will be focused on countries such as Mozambique, Tanzania and Democratic Republic of Congo (DRC). This deal was announced on 12 August and is subject to regulatory approvals each market.
Airtel–Vodacom Partnership Targets Digital Inclusion
The multi-market agreement focuses on sharing fiber networks and tower infrastructure, to extend coverage and accelerate high speed network roll outs of digital services in these markets, increasing connectivity for customers while reducing operators` infrastructure costs. This deal marks a transformative milestone in promoting digital inclusion and promoting access to reliable connectivity across Africa.
Vodacom CEO, Shameel Joosub described the agreement as a, “Proactive step towards creating a sustainable, inclusive and connected digital future for the continent.”
Infrastructure sharing is a bridge in providing cost effective services to more people, more rapidly. As they realize their ambition to connect 260 million customers by 2030, the need for scalable and cost-efficient network solutions becomes increasingly significant. Mr. Shameel concluded by saying, “The partnership provides us with the opportunity to narrow the digital divide, empowering more individuals and communities through digitalization across the continent. It is aligned with our purpose to connect for a beter future.”
Airtel Africa Chief Executive Officer, Sunil Tadar said, “the partnership is aligned with our unwavering commitment to delighting our customers by always making our network available to them even in the remotest locations. Working with Vodacom we will open greater access to digital and financial opportunities which will transform the lives of our customers while complying with all regulatory requirements.”
Mr. Sunil added that as competitors it has become a business imperative for them to collaborate in the provision of critical infrastructure required to build resilient network with strong capacity to support the emerging digital technologies as well as the growing need for data enabled products and services.
Airtel and Vodacom Drive Africa’s Infrastructure Sharing Trend
The partnership between Airtel and Vodacom, shows how infrastructure sharing is gaining momentum in African telecoms as operators face rising costs and increasing demand for broadband. Early this year, Vodacom and orange agreed to build up to 2000 solar powered based stations in the DRC over a period of six years while MTN and and Airtel Africa have implemented similar network sharing deals in Nigeria and Uganda.
Finally, if the three markets approve the partnership between Airtel and Vodacom, there will be a boost of 4G and 5G deployment, expansion of high-speed internet to millions hence allowing more opportunities for both operators to enhance network performance, extend coverage and increase financial services leveraging a broader footprint on the continent.
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