Brands & Marketing

MTN and Airtel Pour N202.4bn and $670m into Nigeria in Q1

By Paul Onehi

Telecom giants MTN and Airtel have invested N202.4 billion and $670 million, respectively, in network infrastructure, according to their unaudited financial results for the quarter and year ended March 31, 2025.

MTN Nigeria significantly boosted its investment to N202.4 billion in Q1 2025, representing a 159% increase from Q1 2024. In contrast, Airtel’s capital expenditure stood at $670 million, falling short of its guidance due to the deferment of data center investments.

Airtel said its capex guidance for the next year is between $725 million and $750 million as it continued to invest for future growth.

Following a 50% tariff adjustment approved by the Nigerian Communications Commission (NCC), which took effect in February, mobile network operators (MNOs) like MTN and Airtel are optimistic about the improved operating environment and plan to further enhance end-user experience on their networks.

Telecom subscriber groups, including the Association of Telephone, Cable TV and Internet Subscribers of Nigeria (ATCIS-Nigeria) and the National Association of Telecom Subscribers of Nigeria (NATCOMS), have expressed concern over declining service quality, particularly following the recent 50% tariff increase. The NCC had given operators a three-month deadline to improve service quality.

NCC CEO Dr. Aminu Maida revealed that telecom operators have committed to a $1 billion investment to upgrade their existing networks, aiming to significantly enhance end-user experience.

MTN Nigeria announced plans to invest N800 billion in infrastructure to enhance network quality nationwide. Meanwhile, Airtel Nigeria, without disclosing its exact capital expenditure for the period ending March 31, 2025, pledged to double its investment, underscoring its commitment to improving network quality.

MTN Nigeria’s Chief Customer and Experience Officer, Ugonwa Nwoye, acknowledged the public’s expectations for immediate service improvements, noting that large-scale infrastructure deployment requires time.

However, the company anticipates visible network performance enhancements by the second half of the year. Nwoye emphasized that increased investment is crucial for accelerating improvements across MTN’s network, highlighting the company’s strategic commitment to enhancing network quality, speed, and coverage nationwide.

Nwoye stated that MTN Nigeria implemented extensive internal reforms prior to undertaking structural changes to support the significant investment. The company rolled out the price increase between February and March, ensuring that all existing data plans remained below the 50% increase, with most below 25%.

Customers were proactively informed about changes, including the retirement of legacy plans and introduction of new ones.
“We gave customers six to eight weeks’ notice. This is why it has taken us some time to complete this process, where we let customers know that at a certain date, this particular tariff is not going to exist,” she expressed.

Nwoye emphasized that MTN Nigeria had explored all internal measures before implementing structural updates. With the new pricing structure in place, the company is now accelerating infrastructure investments, evident in its N202.4 billion expenditure in Q1 2025, a 159% increase from the previous year. This investment is part of a planned N800 billion capital expenditure for the year, aimed at enhancing service quality through long-term operational restructuring.

“Our investment of over N800 billion this year in infrastructure will yield significant benefits, including enhanced customer experience, reduced congestion, faster internet speeds, and expanded network coverage,” she stated.

This investment will upgrade over 1,000 cell sites and expand more than 2,000 transmission links nationwide, aiming to deliver faster data speeds, reduce dropped calls, and enhance network reach, particularly in underserved areas.

MTN emphasized that its investments are pivotal in enhancing digital experiences across Nigeria, positioning them as essential drivers of improved service quality and customer satisfaction in a sector where these metrics are under close scrutiny.

Airtel Nigeria has pledged to double its capital expenditure commitment, underscoring its steadfast commitment to delivering exceptional service quality and promoting digital inclusion in the market.

This significant investment boost encompasses vital infrastructure upgrades, expanded rural coverage, advanced data solutions, enhanced customer experiences, and community-focused initiatives. The move solidifies Airtel Nigeria’s position as a key driver of the country’s digital transformation and economic growth.

Our investment strategy centers on expanding and strengthening network infrastructure to substantially enhance connectivity and customer experience nationwide. This includes the rapid rollout of 5G technology across our sites, delivering ultra-fast data speeds and superior service quality.

“Additional sites are being established to deepen network reach, particularly in underserved rural areas, ensuring that more Nigerians benefit from reliable mobile connectivity.

“Upgrades at existing sites involve installing high-capacity radios to support the increasing demand for data, ensuring our network can handle growing consumption needs.”

“We’re investing in equipping data centers to tap into the 2Africa cable landing stations and international bandwidth, significantly boosting data throughput and enhancing our network’s capacity.”

Airtel is constructing a cutting-edge data center to support its expanding customer base and bolster data management capabilities. Additionally, the company is establishing new shops and outlets nationwide to enhance customer accessibility and service delivery.

Airtel is launching advanced terminals and devices, enabling customers to access data services, including home broadband, and stay connected with the latest technology.

Airtel Nigeria CEO Dinesh Balsingh stated, “Doubling our investment underscores our profound commitment to Nigeria’s future. We view Nigeria as home and are investing in transformative infrastructure to deliver unparalleled value to our customers, making connectivity a daily reality for more Nigerians. This goes beyond technology – it’s about empowerment and positively impacting lives.”

Leave a Comment

Your email address will not be published. Required fields are marked *

*