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GSMA New Report Highlights Benefits of Mobile Mergers

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In search of consolidation that can boost investment in next-generation infrastructure and deliver long-term consumer gains, GSMA in its new report said that more focus on investment incentives, less reliance on existing pricing analysis and careful consideration of remedies are essential when assessing mobile mergers.

According to a new Frontier Economics report commissioned by the GSMA, “European Mobile Network Operator Mergers: A Regulatory Assessment” was developed in response to recent debate on the effect of consolidation on European mobile market performance.

The report examines how the impact of mergers can ultimately lead to consumer benefits such as lower unit prices1, enhanced quality of service and greater coverage in remote communities.

As the research released today demonstrates, consolidation can boost investment in next-generation mobile infrastructure and delivery of mobile broadband to rural areas,” said Anne Bouverot, director general, GSMA.

“Now is the time for Europe to catch up with the US and Asia in providing its citizens with faster connection speeds and access to the latest mobile broadband technologies. To that end, we ask the competition authorities to more readily consider the advantages of mobile mergers and in particular the long-term benefits they can deliver to consumers.”

Mobile mergers have recently been completed in Austria, Germany and Ireland, with the number of network operators in each country falling from four to three.

To date, competition authorities have tended to focus on the short-term pricing implications of mergers, with a significant reliance on the Gross Upward Pricing Pressure Index (GUPPI) 2 but less attention to the efficiency and investment benefits that enable innovation and help build consumer confidence in mobile services.

Where mergers have been approved, they have been subject to significant remedies.

Key Findings Of The Report Include:

Mergers Can Help Increase Investment and Quality of Service

Competition authorities should consider placing greater focus on how mergers may change the operators’ ability and incentive to invest, which will ultimately enhance the delivery and cost of mobile services for consumers.

Investment incentives include a larger customer base that leads to economies of scale and the ability to differentiate from competitors if the merger results in a superior spectrum holding.

Impact of Mobile Mergers on Unit Prices Is Overstated

There is no robust evidence to suggest that four-player markets have produced lower prices than three-player markets in Europe over the past decade.

GUPPI analysis has proved unreliable when estimating the impact on unit prices expected to result from mobile mergers3.

Evidence from the recent Austria merger confirms unit prices did not increase as authorities had anticipated.

Mergers can accelerate the transition between technology cycles in the mobile industry, which are responsible for most reductions in unit prices, as well as improvements in quality and service innovation.

Mergers Offer Greater Benefits than Network Sharing

Competition authorities have often argued that network sharing represents a preferred alternative to mergers.

However, network sharing offers weaker incentives to invest as there is little competitive advantage to gain when at least two operators have access to comparable networks.

Remedies Can Undermine Benefits of Mergers

If operators are compelled to provide access to their networks to third parties, this could reduce rather than sharpen incentives to invest as a result of the merger, significantly reducing benefits to consumers.

Remedies that involve reallocating network assets or reserving spectrum for other operators mean that these resources are not available for use by the merged entity.

“In a fast-evolving communications landscape, with accelerating data consumption and new Internet-based competition, the EU must ensure that mobile markets can restructure and move quickly to realise the advantages of moving from one technology cycle to the next,” added Bouverot.

“We ask policy makers to recognise how mergers can drive the investments required to provide long-term socio-economic benefits for Europe’s citizens and businesses and help bridge the digital divide.”

The GSMA represents the interests of mobile operators worldwide, uniting nearly 800 operators with more than 250 companies in the broader mobile ecosystem, including handset and device makers, software companies, equipment providers and Internet companies, as well as organisations in adjacent industry sectors.

It also produces industry-leading events such as Mobile World Congress, Mobile World Congress Shanghai and the Mobile 360 Series conferences. ‎

 


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NCC Begins Review of Nigeria Telecoms Policy after 26 Years

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Nigerian Communications Commission (NCC) has commenced a review of Nigeria’s 26-year-old telecommunications policy, saying the current framework no longer reflects the realities of the country’s fast-changing digital economy.

NCC  Begins Review of Nigeria Telecoms Policy after 26 Years

Aminu Maida, EVC, NCC

Speaking  at the national telecommunications policy review workshop in Lagos, Hadiza Usman, special adviser to the president on policy and coordination, said the review had become necessary because Nigeria’s economy, technology ecosystem, and security environment had changed significantly since the national telecommunications policy was introduced in 2000.

“A policy that was fit for purpose in the year 2000 cannot simply be assumed to remain adequate in 2026,” Usman said.

She said telecommunications had evolved beyond voice connectivity and now supports financial technology, digital commerce, education, healthcare, agriculture, innovation, public service delivery, and national security operations.

“Telecommunications is no longer a standalone sector. It is an enabling platform for almost every other sector of national life,” she said.

Usman warned that outdated or poorly coordinated policies weaken implementation, discourage investment, create institutional overlaps, and reduce measurable national impact.

According to her, the revised framework must address broadband penetration, affordability of digital access, quality of service, infrastructure resilience, consumer protection, and inclusion of underserved communities.

“The revised policy must not become another document that sits on shelves. It must become a working instrument,” she said.

The presidential aide also identified fibre cuts, vandalism, multiple taxation, delayed approvals, right-of-way bottlenecks, insecurity, and energy constraints as major obstacles slowing telecommunications infrastructure expansion across the country.

She said resolving the challenges would require coordinated action among federal institutions, state governments, local authorities, regulators, operators, investors, and infrastructure providers.

Earlier, Aminu Maida, executive vice-chairman (EVC) of the NCC, said the telecommunications industry had outgrown the assumptions behind the national telecommunications policy 2000.

Maida said the policy was introduced at a time when Nigeria’s focus was on liberalisation, competition, increased access, and private sector participation in telecommunications services.

According to the EVC, the industry has since evolved into a broader digital ecosystem supporting banking, commerce, education, cloud services, entertainment, digital identity systems, and government operations.

“This is no longer a narrow telecommunications conversation. It is no longer just one sector within the economy; it is a productivity infrastructure for the entire economy,” he said.

Maida added that emerging technologies such as 5G, artificial intelligence, satellite broadband, cloud infrastructure, Internet of Things (IoT), and cybersecurity regulation have further transformed the sector.

He said the review process would also address structural issues including rural connectivity gaps, multiple taxation, vandalism, high energy costs, fibre cuts, and delays in obtaining permits.

“The commission aims to develop a modern policy framework capable of supporting innovation, protecting consumers, improving quality of experience, strengthening investment, and advancing Nigeria’s digital economy ambitions,” Maida said.

The EVC said the workshop was organised to assess implementation of the existing policy, identify gaps, engage stakeholders, and develop recommendations for a new national telecommunications policy 2026.

 

 


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MTN to Turn its African Tower Network Into a Distributed AI Compute Grid

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MTN Group plans to convert its African tower estate into a distributed AI compute fabric, installing open GPU infrastructure at base-station sites so that the same hardware can run both the cellular network and edge AI inference workloads.

MTN to Turn its African Tower Network Into a Distributed AI Compute Grid

The plan was set out by Charles Molapisi, group chief technology and information officer, MTN, at an event hosted by law firm Bowmans in Johannesburg recently— the company’s most detailed explanation yet of how it intends to position itself as the infrastructure layer of Africa’s AI economy.

Every cellular tower today has a baseband unit at its base — single-purpose hardware that exists only to drive the radio access network.

Molapisi said MTN will replace these with open GPU configurations capable of running the radio plus AI inference, in what the company has described as a “distributed AI grid.”

A key pay-off, he argued, is latency. AI workloads that today must be hauled back to a central data centre could instead be processed at or near the tower.

He gave the example of children playing PlayStation on an estate served by a nearby tower: with edge compute installed, the workload could be served locally rather than backhauled to a distant data centre and returned, freeing capacity and cutting round-trip time.

The edge layer sits alongside the centralized half of MTN’s AI infrastructure plan.

The group confirmed in its 2025 financial results in March that it will build two new AI-enabled data centres — one in South Africa and one in Nigeria.

Molapisi described an MTN AI strategy spanning a relatively full stack — procuring silicon, building data centres, running its own cloud platforms, curating models and co-developing applications with partners. The company is also building terrestrial fibre across multiple African markets, including some where it has no GSM licence, to plug what Molapisi called the continent’s missing “rails.”

The investments sit inside MTN’s Ambition 2030 strategy, which reorganized the group around three platforms: connectivity, fintech and digital infrastructure. The tower-to-inference push is the most concrete articulation yet of a thesis MTN has been laying out for more than a year — including an investment in March in U.S. AI-native networking start-up ORAN Development Company alongside NVIDIA, Cisco, Nokia, AT&T and Telecom Italia.

At the time, Mazen Mroué, CEO, Digital Infrastructure CEO, framed the move around “sovereign AI” — the principle that African countries should host AI compute locally rather than relying on offshore infrastructure.

Molapisi said MTN is developing the edge AI grid alongside technology partners, with the ambition for MTN to become “the biggest distributor of edge inference in the continent.”

The strategic case rests on Molapisi’s wider argument that Africa risks repeating its commodity history in the AI era.

With about 1% of global computing power on the continent today, he said, Africa stands to “export raw data” the way it has long exported raw minerals — only to import the intelligence built from it at a premium.

Molapisi conceded that chip generations are turning over quickly enough — NVIDIA’s Hopper to Blackwell inside two years, for example — that procurement decisions made today can be obsolete by deployment. He said MTN is being deliberate about its chip mix and the balance between training and inference silicon, “because if you get that wrong, you’ll get the economics terribly wrong.”


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Meta Cuts 8,000 Jobs in Major Shift Toward Artificial Intelligence

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Meta Platforms has laid off about 8,000 employees as part of a sweeping restructuring aimed at transforming the tech giant into an artificial intelligence-focused company.

Meta Cuts 8,000 Jobs in Major Shift Toward Artificial Intelligence

Mark Zuckerberg

The layoffs, which account for nearly 10 per cent of Meta’s global workforce, affected employees across Asia, Europe, and the United States, with staff reportedly receiving termination notices via email.

The company also reassigned about 7,000 workers to new AI-related projects as part of its broader organisational overhaul under Chief Executive Officer Mark Zuckerberg.

Zuckerberg has consistently described artificial intelligence as the most important technology shaping Meta’s future and has pushed aggressively to position the company at the forefront of the global AI race.

According to reports, the restructuring has generated anxiety among employees, with concerns growing over job security and the increasing deployment of AI systems within Meta’s operations and training processes.

Some workers were also said to have questioned internal data collection practices linked to AI development, while petitions reportedly circulated within company offices calling for greater transparency regarding employee data usage.

Despite the layoffs, Meta is significantly increasing investment in artificial intelligence infrastructure, research, and product development.

The company plans to spend more than 100 billion dollars this year on AI-related initiatives as competition intensifies among global technology firms.

Zuckerberg defended the restructuring, saying companies that lead in artificial intelligence would shape the next generation of digital services and technology innovation.

He acknowledged concerns among employees but maintained that the transition was necessary to ensure Meta’s long-term competitiveness.

Affected workers are expected to receive severance packages including several months of salary and additional compensation based on their years of service.

Industry analysts say the development reflects a broader trend in the technology sector, where companies are reducing traditional roles while expanding investments in artificial intelligence, automation, and advanced computing systems.


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