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CDMA Operators and Strategies for Survival

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The granting of United Access License by Nigeria Communications Commission (NCC) in 2006 after the expiration of exclusivity right given to Global System for Mobile communication (GSM) operators was what Code Division Multiple Access (CDMA) operators needed to stamp their feat in the telecommunications industry.
Before then, they were operating under limited mobile access license which restricted them from operating mobile service in unified manner. They as a result concentrated in offering fixed wireless and mobile service within the states they secured license to operate. More so, if any operator wishes to operate in another state outside its primary state of operation such operator could be required to apply for a license to operate in such location. This made it expensive to operate even as they were not required to offer roaming service like GSM operators.
As a result of these, CDMA operators were mere local operators who concentrated their service in Lagos and Abuja commercially viable cities. They were struggling for subscribers with GSM operators that offered more effective service basically, because a GSM subscriber can take his or her phone outside Lagos and it works in as much as such network has coverage in the location. But mobile service rendered by CDMA could not offer this service, thereby giving them advantage over CDMA service.
Prior to the introduction of the unified licensing regime which allows individual service provider to offer multiple services such as mobile telephony, fixed telephony, internet broadband and long distance services, there were over ten operators in this space. They included Starcomms, Reltel now ZoomMobile, Intercellular, Multi-Links, Independent Telephony Network (ITN), Cellcom, Bourdex, Rainbownet, Prestel MTS First, among others.
Under the current dispensation, CDMA operators that want to play in the big league are required to operate nationally, though there is choice of playing local but most see it as not being economically viable to play local which has led to some of them going for national unified access license is the prerequisite.
Playing at this level means having foot print in almost every town in the country to be able to garner enough subscriber base which is the basis for profitability. To do this, they require strong financial base which most of this operators does not have.
This situation changed the landscape of operation in CDMA space as they had to change their operational module to be part of the moving train in the industry and has ignited a contest for supremacy among operators that have what it takes to play as a national operator. This saw Starcomms selling some of its equity to Actis to raise money to expand its network, since then it has secured foreign loans in this regard making it to claim the biggest in the space.
The company has already invested some US$600 million since it launched its network in 2002.
It has as well set itself a target of reaching 5million subscribers by the end of this year. The company is the only telecom company quoted on the Nigerian stock Exchange (NSE) and has raised around US$60 million.
The stock market float increased funding for the company, while also allowing two investors, Actis and ECP to reduce their holdings. This as well as proactive management approach may have been responsible for the sustainable growth the company has recorded in this period of dwindling average revenue per user (ARPU) and harsh economic situation in the country. Today, Starcomms is the only operator in this space that has recorded steady growth after the period of global economic downturn. 
More so, other operators have made effort to be relevant and attract the much needed subscribers for the survival of their network operation. This may have informed Reltel now Zoom Mobile a major player in the CDMA space to embark on restructuring and repositioning. Before it changed its name to reflect the desire of its new investors from within the country, the company was the only privately owned telecommunications company that was playing in the big wings.
Zoom Mobile raised N25.9 million (US$223 million) from investors through private placement. The company said that the rebranding was to reposition the company as a national mobile services provider, taking full advantage of its Universal Access Service license.
The operator currently covers over 72 cities and 450 villages and has a capacity for five million subscribers. Zoom Mobile has scale down its efforts to ensure that it lure more subscribers to its network and is concentrating like most other operators in this space on retaining its existing customers as well venturing massively to the provision data services which their network is better suited for compared to their GSM counter-parts.
Multi-Links Telkom, set aside $ 1 billion (about N127 billion) to fund an aggressive five-year expansion programme. This would enable it cover about 80 percent of the country, thereby raising the bar of competition in the wireless/ fixed line segment of the telecoms sector where seven other operators are also battling for market share and leadership. The story of Multi-Links Telkom is not different from others in the space; recently its parent company Telkom South Africa had expressed its intension to sale Multi-Links based on the fact that its operational losses are dragging it backwards. Although, it has rescinded on this intension and has put in place strategies aimed at reducing its operational losses. Among those strategies is focus on data service where the company wants to leverage on its optic fibre network that spans from Lagos to Abuja. It has rolled out products in this regard. The company has put in place a new management team whose mandate is to seek ways of changing the fortune of the company to profitability.
Visafone, the youngest by name in this CDMA sector of the telecommunications industry emerged from nowhere and recorded an impressive performance by becoming the fourth biggest operator in the telecommunications industry and number one position among CDMA operators last year.
The company which is brainchild of Jim Ovia, a banker and industrialist has witnessed the investor bringing his managerial competence which he uses in making Zenith bank one of the best in the post-consolidation era to bear in Visafone.
Though, the name is new but the network has been operational in some cities for over a decade. This was as a result of the company’s acquisition of Bourdex Telecom that secured operational license to deliver services to some eastern parts of the country. It also bought over Cellcom and Independent Telephone Network, all which were merger into one network, Visafone.
No sooner the company rolled out service than about 13 banks gave their support with a syndicated facility of $200m in support of the new mobile phone company.
The emergence of Visafone has also brought new zest to the CDMA market space, especially with its introduction of open market selling strategy. This strategy which was first used by Starcomms in 2007 to drive its market penetration has now been deployed effectively by Visafone to the admiration of the purchasing customers.
Visafone has also been hit by the unfavourable operating environment which has forced it to looking for the best way to survive. The company has embarked promotions to retain and increase its subscriber base as well as scale down its expansion projects all as part of effort to survive the harsh economic situation and dwindling ARPU.
Prestel, another unified access license operator, which has its footprint strong in Niger Delta region has not done much to show that it wants to play in the big circle. The company is spare in the sorry situation that CDMA operators are face. It has sort for investors that will bring money to expand and compete in the industry, but it has not been successful in this regard.
Another underdog in this race that was first in the CDMA space is Intercellular. Since the company secured unified license, it looks as if things started working against the company. It has made several attempts at securing technical partner which didn’t work out until few years back when Sudanese operator Sudatel bought into the company but is yet to operate the network raising doubt on the ability of the Arab operator to muster the required financial muscle to play in the big players’ circle.
MTS first wireless, Rainbownet among others are not left out even as these brands are fading out of the market.
Mr. Wakili Shehu a telecommunications consultant said that CDMA technology also provides the capacity for quicker transmission of data and Internet, unlike the GSM which has limited capacity. But he warned that the use of the CDMA technology in the country was also fraught with challenges, such as limited coverage of cities and towns, unlike the GSM. He urged them to explore their advantage in the provision of data service as a survival strategy to getting out of their present predicaments.
Other options available to operators in this space is reduction of operational cost through outsourcing of none core network service as well as complete embracing of co-location or managed services in the base stations.
As operators in the CDMA space are faced with realities of development of telecommunications service delivery in the country where much emphasizes is laid on provision value added services, they should also consider consolidation as an option for survival. Consolidation allows mergers and acquisition in the sector similar to what was witnessed in the banking sector.
Engr. Gbenga Adebayo, chairman of Alton, during the association’s visit to Dr. Eugen Juwah, executive vice chairman, Nigerian Communications Commission (NCC)  requested the Commission to develop an incentive-driven bailout plan for some of its members with difficulties in payment of their regulatory dues for the sustenance of the industry growth and protection of ailing networks. This is a clear indication that some operators are finding it difficult to survive which is a sign of distress in the sector. CDMA technology does not have technological challenges as it were, but business model and finance. For instance, in USA and India are some of the countries where CDMA operators are dominant operators.
It has done on some operators that with their business model it is difficult to attract investors especially outside the country, so such operators should consider changing this business model if they don’t want extension of their brand.
   


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Airtel Africa Cuts Diesel Dependence by 9.1m Litres

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Airtel Africa, a telecommunications and mobile money services provider across 14 African countries, saved 9.1 million litres of diesel during its just ended 2025/2026 financial year, as part of efforts to drive responsible growth by minimising the environmental impact of its operations.

This was achieved by reducing reliance on diesel and increasing use of lower-carbon energy sources, including the conversion of 390 infrastructure sites to on-grid power during the year, thus improving efficiency and reducing emissions.

Airtel Africa CEO, Sunil Taldar highlighted this achievement during a media roundtable held in Lusaka, Zambia, where he presented the Group’s Sustainability Scorecard and progress towards building a more sustainable, inclusive and connected Africa.

Other initiatives to reduce Airtel Africa’s environmental impact during the year included promoting the circular economy, recycling 94% of total waste generated. These form part of Airtel Africa’s broader sustainability strategy, which seeks to create long-term value by balancing business growth with environmental stewardship, digital inclusion and socio-economic development.

Mr. Taldar emphasized that responsible growth remains central to Airtel Africa’s business strategy and is reflected in the company’s ability to extend services and opportunities to millions of people across the continent while advancing sustainability goals. Airtel Africa’s network now reaches 81.9% of the population across its markets, enabling greater access to connectivity, information, education and economic opportunities for individuals and communities.

The company recorded progress in its efforts to advance financial inclusion. Airtel Money now serves 54.1 million customers through a network of 2.4 million agents, making it one of Africa’s largest digital financial services ecosystems. Notably, 44.1% of Airtel Money customers are female, demonstrating the platform’s growing role in empowering women through access to secure, affordable and convenient financial services.

Beyond connectivity and financial inclusion, Airtel Africa, through its philanthropic arm, Airtel Africa Foundation continued to drive meaningful change across communities in the continent, investing US$6.2 million in priority programmes in four strategic areas namely Financial Inclusion, Education, Environmental Sustainability and Digital Inclusion.

Through its partnership with UNICEF, 3,296 schools have been connected to the free internet access, helping to bridge the digital divide and expand access to quality education reaching over 2 million learners and 38,868 teachers, while 64 zero-rated digital learning platforms enabled more than 11 million learners to access free digital educational content.

Also, during the year, more than 30,000 young people received digital skills training, while over 250 full undergraduate STEM scholarships were awarded through the Airtel Africa Tech Fellowship programme, helping to prepare the next generation of African innovators and technology leaders.

 


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A New Blueprint – How Strategic Collaboration is Rewriting the Narrative on Youth Drug Abuse

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By Odunayo Sanya, Executive Director, MTN Foundation

Leadership, in its truest essence, is not about the titles we hold or the executive seats we occupy; it is about the responsibility we assume for the future of our communities. According to John Maxwell, a leader is one who knows the way, shows the way and goes the way. As we commemorate World Drug Day (26 June), we are collectively confronted with a sobering reality that demands that we intentionally create the conditions for Nigerian youths to thrive.

 A New Blueprint - How Strategic Collaboration is Rewriting the Narrative on Youth Drug Abuse

Odunayo Sanya, Executive Director, MTN Foundation

This year’s global theme reminds us that the fight against substance abuse demands a collective response because its consequences extend far beyond the individual, affecting public health, economic productivity, community wellbeing, and national development.

To understand the weight of what is at stake, we must anchor our empathy in empirical truth. The United Nations Office on Drugs and Crime (UNODC) Drug Use in Nigeria Survey (2018), still one of Nigeria’s most comprehensive national assessments of substance abuse, revealed a deeply distressing reality. Nearly 14.3 million Nigerians aged 15 to 64 had used psychoactive substances. While the survey remains an important benchmark, the passage of time since its publication underscores the urgent need for more current data to guide prevention and intervention efforts. Nonetheless, the survey revealed that one in every four drug users in Nigeria was a woman, while the highest concentration of users was found among young people. This is not just a health crisis; it is an economic crisis and a systemic threat to our nation’s future leadership.

When we look at these numbers, we must refuse to see them merely as data points on a spreadsheet. Every statistic represents a vibrant mind diminished, a family fractured and a potential corporate leader or innovator sidelined. In my journey across the corporate and development sectors, I have learned that systemic challenges cannot be solved by sporadic, emotional reactions. They require structured, intelligent, sustainable, and data-informed ecosystems of change. True change requires us to transition from passive observers to active architects of sustainable interventions.

It was this profound sense of responsibility and strategic foresight that birthed the MTN Anti-Substance Abuse Programme (ASAP) in 2019. We recognised early on that the traditional approach of criminalising substance abuse without addressing the root causes – curiosity, peer pressure, lack of information and socio-economic despair – was a flawed model. ASAP was conceptualised as a multi-sectoral behaviour-change initiative designed to contribute to the reduction of first-time substance abusers in Nigeria.

This year’s World Drug Day theme “The World Drug Problem: Persisting Issues, New Challenges, Innovative Responses” is both a reminder of the complexity of the menace confronting our nation and an urgent call to action. It is clear that only innovative responses can curb the ever-evolving tactics of illicit drug networks. Beyond traditional substances, the world is witnessing a rapid increase in the production, availability and use of synthetic drugs. The commoditisation of prescription medicines has contributed to substance abuse. The inordinate use of technology as an enabler of cybernarcotics has changed the dynamics of the game.

Let me bring this closer home with some numbers. From January 2025 to May 2026, the NDLEA seized 5,305,484.88 kilograms of illicit drugs worth N1.5 trillion through 29,262 arrests. Recently, on May 16, the NDLEA busted a meth manufacturing ring in Ogun State. The scourge is no longer a distant tale: it resides with us. So, we must rise together as stakeholders in this war against substance abuse.

Over the years, the impact recorded through the ASAP initiative is a testament to the power of public-private sector partnerships. Through strategic partnerships with the NDLEA, the UNODC, the Ministry of Education, the Ministry of Health, and various non-governmental organisations, the MTN Foundation has institutionalised the anti-substance abuse advocacy. We have taken the message directly to the frontlines – our schools, motor parks, markets, and digital spaces. By building a coalition of voices, we are demystifying the stigma surrounding addiction, turning what was once whispered in shame into open and constructive community dialogues.

Our journey this year has been marked by a powerful surge of collective action. From stakeholder conferences in Enugu, Kaduna, Kwara and Abuja, to the resonant advocacy walks in tertiary institutions across Gombe, Delta, Abuja and Lagos, the response has been nothing short of extraordinary. The scale of this support – uniting associations, students, and parents alike – is a testament to the urgency and shared commitment driving this movement.

Our interventions have yielded measurable outcomes. To date, the ASAP initiative has directly impacted over 50,433 students and 1,556 teachers across public secondary schools in 32 states and the FCT, through structured anti-substance abuse capacity building initiatives, digital advocacy, peer-to-peer training, and community town halls. By empowering young people to become ambassadors themselves, we have leveraged the power of peer influence positively. We have seen firsthand that when you give a young person the right tools, accurate information, and a sense of purpose, they will choose a path of productivity over self-destruction.

True leadership, however, refuses to rest on yesterday’s laurels; it constantly asks where the next frontier of impact lies and what it requires. It is this restless pursuit of evidence-based and sustainable solutions that culminated in a historic milestone just two months ago, when the MTN Foundation, the United Nations Office on Drugs and Crime (UNODC), and the Office of the Vice President formalised a partnership to undertake Nigeria’s first nationally representative substance abuse survey among secondary school students. At a time when the most widely referenced national substance abuse data is almost a decade old and does not adequately capture the realities of in-school adolescents, this initiative seeks to provide the evidence needed to shape more targeted interventions and policy responses. The collaboration, which drew high praise from Vice President Kashim Shettima (GCON), is a powerful validation of our commitment to Nigeria’s youth and our belief that lasting solutions are built through multi-sectoral partnerships.

As a certified change practitioner, I know that for any behavioural shift to be sustainable, the intervention must be systemic, continuous, and dynamic. This year, our World Drug Day activities have been intentionally scaled up to meet the evolving landscape of substance abuse, particularly the rise of cheaper, highly lethal synthetic mixtures. Our focus this year focuses heavily on the digital ecosystem – leveraging technology to deploy accessible mental health resources, psychosocial helplines, and interactive awareness modules – because that is where our youth live, connect, and learn.

In tandem with our digital drive, this year’s ASAP calendar features high-level policy roundtables, quiz competitions, and grassroot activations across educational institutions. We are deliberately engaging policymakers to ensure that advocacy is backed by robust institutional frameworks. It is not enough to tell our children to say no to drugs; we must build a society that offers them a resounding “yes” to viable economic opportunities, mental health support, and inclusive community spaces.

The universe, as I often like to say, rewards extraordinary effort. The crisis before us is vast, but our collective capacity to innovate and heal is even greater. We cannot afford to look away or assume that this is someone else’s problem. The teenager struggling with addiction in a remote community is tied to the collective economic stability of our communities. Their failure is a leak in our national boat; their recovery is our shared victory.

As we mark World Drug Day, my call to action is to the government, corporate Nigeria, civil society organisations, and every well-meaning citizen: let us move from intent to action by investing heavily in preventive advocacy and psychosocial support structures. Let us choose to know the way, show the way, and walk the way together toward a drug-free, prosperous Nigeria.
Remember, it is everyone’s fight!


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MTN Foundation, MUSON Deepen Investment in Nigeria’s Creative Economy Ahead of 2026 Graduation Activities

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MTN Foundation and Musical Society of Nigeria (MUSON) will celebrate the 2026 MUSON School of Music graduation on July 7 and July 8 at the Shell Hall, MUSON centre, as the long-running partnership continues to strengthen Nigeria’s creative economy through sustained investment in music education and talent development.

MTN Foundation, MUSON Deepen Investment in Nigeria’s Creative Economy Ahead of 2026 Graduation Activities

MTN Foundation

The two-day programme will feature a graduation concert and a formal ceremony recognising students completing the Diploma in Music programme.

Beyond the graduation activities, the partnership reflects nearly two decades of investment in developing young Nigerian musicians and creating pathways into the country’s growing creative industry.

Since the partnership began in 2006, the MTN MUSON Music Scholars Programme has provided scholarships to more than 553 young Nigerians, helping create a pipeline of emerging musicians seeking formal training and industry exposure.

The initiative supports approximately 45 music scholars annually through a two-year diploma programme, providing access to structured music education and professional development opportunities.

The programme has evolved into one of Nigeria’s leading pathways for formal music training, combining performance studies, music theory and ensemble practice with practical experience designed to prepare students for careers across the wider music and creative industries.

The investment extends beyond scholarship support. Daily Trust reports that the Foundation has invested close to ₦1 billion in the MUSON partnership over the years while strengthening learning infrastructure through the establishment of a fully equipped digital music studio and additional music equipment for students.

The graduation activities are expected to spotlight the latest cohort of emerging talents entering the industry, while also reflecting the broader role of music education in supporting employment, skills development and Nigeria’s cultural influence globally.

Through sustained support for young talents and formal creative education, the MTN Foundation–MUSON collaboration continues to contribute to the development of Nigeria’s wider creative ecosystem.


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