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Co-Location: An Imperative for CAPEX Reduction

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Although there are pockets of sharing of infrastructure among telecommunications operators among Global System for Mobile communications (GSM), operators there is urgent need now for a massive adoption of co-location of infrastructure by them.
Most importantly, with the global economic meltdown which has reduce the ability of over seas financial institution to give support to businesses thereby affecting the ability of those organizations especially equipment manufacturers as the case may be in telecommunications space to supply equipment on credit to operators in developing countries. To this end, there is urgent need for telecom operators in Nigeria to increase adoption of co-location of infrastructure as a way of reducing cost as well as palliative measure in the current economic recession than looking up to government for such.
Nigeria CommunicationsWeek investigations reveal that unlike their GSM counterpart that have gradually adopting co-locations, CDMA operators are yet to consider the option. They are still pursuing the policy of doing it alone as well as battling with the idea of being the first to reach certain subscriber base through expansion without regard to its implication on the already high cost of doing business in the country.
It was reported that a certain CDMA operator, known for this business model lately realized that it lost over N8 million in the last fiscal year as a result of its quest to do it alone and being the first.
More so, there is nothing wrong for a company to be the first to expand to a town but, such company should consider as ways of reducing cost sharing sharable infrastructure with other operators that are there before it, but may not be operating on the same frequency. For instance, there are infrastructure CDMA operators and GSM operations could share these are generating sets, towers, compound among others.
According to a report released recently by a market research firm, Infonetics Research, global service provider capital expenditures (capex) hit a plateau at $298 billion in 2008, marking the end of a five-year investment cycle. This represented a 12.9% increase in capex spending from the previous year, with much of the growth due to currency appreciation against the US dollar, which peaked in July 2008.
The report noted that the first quarter of 2009 was ugly for equipment vendors because service providers were very cautious, pulling back significantly in some areas, particularly TDM and IP voice infrastructure and SONET/SDH optical equipment spending. On the other hand, it was a stellar quarter for large service provider shareholders, as free-cash-flow among service providers is at an all-time high. Overall, service providers around the globe are maintaining clean balance sheets, telco revenue continues to show resilience, and consumers are increasing mobile Internet usage on their iPhones and other smartphones.
Infonetics is now projecting a 2.8% downturn in worldwide carrier capex in 2009, followed by a flat 2010 and a slow return to growth in 2011 with the start of a new investment cycle.
These points to the fact that telecommunications operators should develop tick skin in the face of all these, and in developing tick skin requires effective resource management which co-location is one of them.
In order to meet the increased communications infrastructures sites rollout demand, statutory requirements for infrastructure sharing and harness economic advantages derivable from co-location and sharing telecoms infrastructure, it is important for operators to explore the possibility of site infrastructure co-location with other telecom operators.
In general, co-location is moving or placing things together, and is used to mean the provision of space for a customer’s telecommunications equipment on the service provider’s premises. In the internet world for example, a Web site or an ISP could place its network routers on the premises of the company offering switching services with other ISPs while in the GSM/Telephony world, Operator could decide to share facilities/sites for cost savings reasons. Co-location is sometimes provided by third party company that specializes in collocations.
Benefits of Co-location
Operators can derive savings on Capex and Opex required for site infrastructure build allowing for more efficient utilization of Capex to expand for coverage and capacity.
Scarce capital and management attention can be diverted to key value-creating activities such as customer acquisition, service quality, operational and strategic excellence.
Co-location provides solutions to problems on capital-constrained, high interest rate, high growth environments.
By adopting co-location, there is no need for operators to maintain in-house expertise to build, operate and service site infrastructure.
There is reduced cost to operators under Towers/Equipment lease, on built in Capex costs and Opex costs resulting in increased operating margins.
Addresses regulatory pressure to co-locate and admin costs to operators of managing the co-location process and activity, increased entry speed for new companies.
It reduces environmental hazard caused by having so many sites.
There are two options available to operators for co-location: Operator to operator agreement where an operator will offer one or more operators a space in his location to share some infrastructure.
Third party service provider can provide a site and facilities, for example a Tower for one or more operators to mount their equipments like radios and antennas.
What can be shared through co-location? Shelter Space, Tower or Mast Structures
Cable Ducts, Earthing Protection System, Lighting Protection System, Rack Space, Fence-wall or palisade fencing, Equipment Shelter Plinth, Transmission Link, AC power (public & private source), among others.
Steps required towards co-location
According to Gbenga Adebayo, chief executive officer, Community Network Support Services (CNSS), these steps are, identification of the technical requirements of co-location with a view to strategizing on meeting the requirements, development criteria for achieving a fair, effective and balanced site co-location evaluation and implementation arrangement with other operators.
Others include development of operator’s policy for co-location and provision of framework for accommodating statutory guidelines within the operator’s policy document, and provision of basic information to Operator’s management to enhance management decision making on proposed infrastructure sharing with a view to harnessing economic advantages derivable from the project.
Against these backdrops that Telecom Answers Associate in collaboration with Nigerian Communications Commission (NCC) last week reiterated the imperative of co-location at a co-location forum held in Lagos.
Engr. Ernest Ndukwe, executive vice chairman, NCC, said at the forum that co-location is the next stage of telecommunications revolution in the country, which informed the commission’s licensing of some companies to provide co-location infrastructure.
He said that, if operators co-locate their infrastructure there will be great reduction in cost, proliferation of mast that distorts beauty of the environment among others. He noted that the commission partnering with Lagos State government to destroy all the mast erected by cyber cafés and others that are no longer in use. NCC he said being the foremost telecom regulatory agency in Africa has set-up diverse plans and initiatives that will bring about better service delivery by the operators of which co-location id part of it.
Funke Opeke, speaking on ‘Network Planning Considerations in Telecommunications Co-location’, stressed the need to allow cordial operation among telecom operators such that will unite them in communications and information processes.
She added that financial reliability, service level agreement and maintenance of infrastructure will help co-location.
The time has come for the telecom companies in Nigeria to stop playing the number game of how much infrastructure and sites they own and start looking at ways like co-locating and have agreed shared infrastructure with other operators. Operators should start focusing on network expansion, and increasing coverage using the most economic and efficient means possible to promote rapid growth in the industry and reduce the environmental hazards and other disadvantages caused by having so many individual communications infrastructure.

 

 


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Africa Must Build Its Own Cybersecurity Intelligence, Says Tizel CEO At AfriTech 5.0

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As Africa edges toward an estimated 750 million internet users by the end of 2025, the continent’s expanding digital footprint is increasingly matched by vulnerabilities that threaten its economic and national security.

Africa Must Build Its Own Cybersecurity Intelligence, Says Tizel CEO At AfriTech 5.0

Happiness Obioha, Managing Director and Chief Executive Officer of Tizel Cybersecurity

This concern took centre stage at the Africa Tech Alliance Forum (AfriTech 5.0), where Happiness Obioha, the Managing Director and Chief Executive Officer of Tizel Cybersecurity, delivered one of the event’s most compelling arguments for a new cybersecurity paradigm rooted in African intelligence rather than foreign technology.

Speaking on the theme “Beyond Firewalls: The Case for Homegrown Cybersecurity Intelligence in Africa,” Obioha maintained that Africa’s cybersecurity risks cannot be effectively mitigated with imported solutions that were never designed for the continent’s distinct digital realities.

She described Africa’s cyber landscape as one defined by unique threat actors, infrastructural limitations, cultural nuances, and business patterns that global security platforms often fail to understand.

According to her, relying solely on perimeter-based defenses such as firewalls is no longer adequate in a world where cyberattacks grow more adaptive, persistent, and sophisticated.

Obioha argued that Africa’s dependence on generic global tools has created a critical gap in the continent’s ability to detect, interpret, and respond to emerging threats, and explained that foreign cybersecurity systems frequently misread local attack patterns or fail to anticipate region-specific vulnerabilities.

As a result, many African organizations operate with a false sense of safety while facing increasingly complex threats ranging from ransomware and financial fraud to targeted breaches on government infrastructure.

The Tizel CEO emphasised that Africa’s long-term security lies in adopting intelligence-led approaches that draw from local insights, indigenous expertise, and continental research, and noted that such solutions allow faster and more precise threat detection because they are built with an understanding of local behaviour patterns and digital environments.

Beyond security improvements, she stressed that homegrown cybersecurity also strengthens national sovereignty, reduces capital flight, expands technical capacity, and creates jobs in one of the world’s fastest-growing sectors.

Obioha cited Tizel Cybersecurity as an example of what locally grounded innovation can achieve, explaining that the company’s model integrates contextual intelligence, real-time monitoring, rapid incident response, and strict adherence to regulatory frameworks.

According to her, Tizel’s work with banks, telecom operators, government agencies, and SMEs demonstrates the measurable impact of Africa-specific cybersecurity architecture.

Among the results she highlighted were the prevention of a major ransomware attack in the financial sector, a significant reduction in network downtime for a telecom operator, and the deployment of effective real-time monitoring systems for a government agency.

She reinforced that Tizel’s success is built on its deep understanding of the African digital ecosystem, a familiarity she described as indispensable for delivering cybersecurity that genuinely protects African institutions.

The region’s business culture, infrastructural diversity, and evolving digital habits, she said, can only be accurately interpreted by experts who operate within the same environment.

Obioha urged African enterprises and governments to take a more deliberate approach toward securing their digital future, and encouraged them to re-examine their cybersecurity posture, invest in indigenous intelligence-driven solutions, and build internal teams equipped to respond to emerging threats.

The survival and competitiveness of African businesses, she noted, will increasingly depend on their ability to align security strategies with the realities of the continent’s rapidly evolving digital economy.

“Africa’s digital future is promising,” she concluded, “but it must be secured with intelligence and innovation that come from within the continent.”


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MTN Partners with SMEDAN to Drive Digital Growth and Job Creation Nationwide

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MTN Nigeria and the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) have signed a strategic partnership aimed at accelerating the growth, digital capacity, and sustainability of Nigeria’s 40 million Micro, Small and Medium Enterprises (MSMEs).

MTN Partners with SMEDAN to Drive Digital Growth and Job Creation Nationwide

L-R: Julcit Onigbogi, Head of Legal, SMEDAN; Charles Odii, Director General, SMEDAN; Lynda Saint-Nwafor, Chief Enterprise Business Officer, MTN Nigeria and Ayham Moussa, Chief Operating Officer, MTN Nigeria, during the MTN, SMEDAN Seal Strategic Partnership Signing held at the MTN Plaza, Ikoyi on Thursday, November 27, 2025.

The signing ceremony was held at the MTN Plaza, Lagos, on Thursday, November 27, 2025.

MTN Nigeria’s Chief Operating Officer, Ayham Moussa, reiterated MTN’s commitment to supporting Nigeria’s economic development, stating that MSMEs are the lifeline of Nigeria’s economy.

He said: “SMEs are the backbone of the economy and the backbone of employment in Nigeria. We are delighted to power SMEDAN’s platform and provide tools that help MSMEs reach customers, obtain funding, and access wider markets.

“This collaboration serves both our business and social development objectives.”

Chief Enterprise Business Officer, Lynda Saint-Nwafor, MTN Nigeria described the MoU as a tool to “meet SMEs at the point of their needs,” noting that nano, micro, small, and medium businesses each require different resources to scale.

She stated: “Some SMEs need guidance, some need resources; others need opportunities or workforce support. This platform allows them to access whatever they need.

“We are committed to identifying opportunities across financial inclusion, digital inclusion, and capacity building that help SMEs to scale.”

Speaking at the event, the Director General of SMEDAN, Charles Odii, emphasised the significance of the collaboration, noting that the agency cannot meet its mandate without leveraging technology and private-sector expertise.

He said: “We have approximately 40 million MSMEs in Nigeria, and only about 400 SMEDAN staff. We cannot fulfil our mandate without technology, data, and strong partners.

“MTN already has the infrastructure and tools to support MSMEs from payments to identity, hosting, learning, and more. With this partnership, we are confident we can achieve in a short time what would have taken years.”

Odii highlighted that the SMEDAN-MTN collaboration would support businesses across their growth needs, guided by their four-point GROW model – Guidance, Resources, Opportunities, and Workforce Development.

He added that SMEDAN has already created over 100,000 jobs within its two-year administration and expects the partnership to significantly boost job creation, business expansion, and nationwide enterprise modernisation.

The partnership will feature joint initiatives focused on digital inclusion, financial access, capacity building, and providing verified information for MSMEs. With millions of small businesses depending on accurate guidance and easy-to-access support, MTN and SMEDAN say their shared platform will address gaps in communication, misinformation, and access to opportunities.

The event concluded with the formal signing of the Memorandum of Understanding (MoU), setting the stage for the immediate roll-out of tools, content, and resources that will support MSMEs nationwide.


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MTN Nigeria Launches Y’ello Data Gifting Campaign as Digital Connectivity Shapes Festive Celebrations

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MTN Y’ello Tide is the gift that keeps giving, with MTN exciting Nigerians through a season filled with yellow gifting, digital rewards, and festive moments. This year, MTN is giving customers even more ways to stay connected and celebrate, and the Y’ello Data Gifting initiative stands as one of the many offerings under MTN Y’ello Tide.

MTN Nigeria Launches Y’ello Data Gifting Campaign as Digital Connectivity Shapes Festive Celebrations

MTN Nigeria

With Nigerians embracing more digital-led ways to connect and celebrate during the festive season, MTN Nigeria has introduced its Y’ello Data Gifting initiative as part of the broader MTN Y’ello Tide, designed to encourage customers to share data with loved ones while standing a chance to win prizes worth millions of naira. MTN Y’ello Tide continues to position digital connectivity as an exciting way to gift this season, reinforcing that MTN is giving Nigerians more value at a time they need it most.

The campaign runs from December 1 to 25, offering daily rewards such as Samsung smartphones and ₦20,000 shopping vouchers for the top 20 data gifters each day. As a core part of MTN Y’ello Tide, the data gifting experience helps customers enjoy more yellow moments through rewards, bonuses, and shared connections. Customers who participate also enjoy bonus data, with 1GB awarded to those gifting 10GB or more, and 500MB for gifts ranging between 5GB and 9.99GB. Participation is available through *321# or the myMTN NG app between 10am and 10pm daily.

Across Nigeria, digital behaviour continues to evolve. Internet consumption reached a record 973,455 terabytes in December 2024, marking a 36.5 percent year-on-year growth according to the Nigerian Communications Commission. MTN Y’ello Tide taps into this shift by offering exciting, value-driven digital gifting experiences that help people stay connected throughout the season.

While costs of food and non-alcoholic beverages have risen by over 92 percent in the last three years, and inflation stood at 34.60 percent in November 2024 with food inflation at 39.93 percent, Nigerians continue to prioritise meaningful and cost-efficient ways to stay connected. This shift has led many families to favour experiential or digital gifts, particularly as surveys show that 76 percent of Nigerians experienced income reductions in 2024, based on the PiggyVest Savings Report.

Festive spending has also adjusted to new realities. Items such as Christmas trees now range between ₦23,000 and ₦700,000, up from ₦17,000 to ₦450,000 last year. In this context, telco-led promotions like MTN Y’ello Tide’s Data Gifting campaign offer an alternative form of giving that aligns with today’s lifestyle needs. MTN is giving customers more ways to celebrate in yellow, creating exciting opportunities to share, connect, and enjoy festive rewards.

Nigeria remains a mobile-first market with 103 million internet users recorded at the start of 2024, representing 45.5 percent internet penetration according to DataReportal. Data now functions as a core utility supporting work, education, entertainment, and social connection across the country, making MTN Y’ello Tide’s digital gifting even more relevant this season.

As a Lagos civil servant noted earlier this month, the season remains a time for gratitude and connection, regardless of spending patterns. MTN Y’ello Tide strengthens this sentiment by making it easier for customers to stay connected and enjoy meaningful gifting in an exciting and accessible way.

The Y’ello Data Gifting campaign continues until December 25, with terms and conditions applying. As part of MTN Y’ello Tide, the initiative reinforces that MTN is giving Nigerians a festive season anchored on digital convenience, rewarding experiences, and yellow-themed celebration.

Dial *321# or download the myMTN NG app to start gifting data to your loved ones. Campaign runs until December 25, 2025. Terms and conditions apply.


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