Africa’s technology giants MTN Group plans to invest at least 10 billion U.S. dollars to boost its network infrastructure across the continent by 2030, according to the International Telecommunications Union (ITU) recently.
The South African-based technology company would allocate 2 billion dollars annually to expand and enhance its voice and data networks until 2030, to improve coverage, connectivity, and digital inclusion in its key markets, said the ITU.
It described the ambitious investment plan as evidence of MTN’s commitment to driving economic growth and bridging the digital divide in sub-Saharan Africa as it will focus on expanding and strengthening its network infrastructure, ensuring better coverage and connectivity for its customers.
With 527 million unique mobile subscribers and a penetration rate of just 44 percent in 2023, the region presents significant opportunities for telecom operators to expand their reach and impact, said the global body.
“These funds will be dedicated to the expansion and strengthening of its voice and data networks, ensuring better coverage and connectivity for its customers,” the ITU stated on its Partner2Connect commitments page.
The investment aligns with MTN’s mission to foster digital inclusion and economic growth across Africa.
By improving access to reliable voice and data services, MTN aims to empower individuals, businesses, and communities, enabling them to participate fully in the digital economy.
Sub-Saharan Africa remains one of the most underserved regions in terms of mobile and internet connectivity. According to the Global Mobile Phone Association (GSMA), the region had 320 million mobile internet subscribers in 2023, representing just 27% of the population. This digital divide highlights the urgent need for investment in network infrastructure and affordable digital solutions.
The GSMA predicts that the number of unique mobile subscribers in sub-Saharan Africa will grow to 751 million by 2030, with a compound annual growth rate of 4.5% between 2023 and 2030. Mobile internet penetration is expected to reach 37%, with 518 million users.
However, achieving these targets will require significant investment, with the GSMA estimating that operators in the region will need to spend $62 billion on their networks over the same period.
MTN’s investment comes as competition in Africa’s telecom sector intensifies. With approximately 230 million subscribers, MTN currently holds the title of “Africa’s largest mobile network operator.”
However, it faces stiff competition from Vodacom (205 million subscribers), Airtel Africa (163.1 million subscribers), and Orange (160 million subscribers).
By expanding its network and reaching new subscribers, MTN aims to consolidate its market leadership and strengthen its position in the region.
The company’s investment in infrastructure will not only enhance its service offerings but also enable it to tap into underserved markets, particularly in rural and remote areas.
While infrastructure investment is critical, MTN must also address the barriers that limit the adoption of mobile and internet services in Africa.
One of the most significant challenges is the high cost of smartphones, which remains out of reach for many consumers.