Table of Contents
Key Points
- MTN explores partnerships with LEO satellite providers to deliver internet to rural, underserved areas.
- MTN conducts trials with LEO operators to evaluate satellite internet for enterprise customers.
- Despite revenue drop, MTN remains committed to expanding connectivity across Africa.
MTN Group, Africa’s largest mobile network operator led by Zimbabwean executive Ralph Mupita, is intensifying efforts to provide internet access to underserved areas by partnering with low-Earth-orbit (LEO) satellite providers.
The move is part of MTN’s broader strategy to enhance its existing network with satellite technology, targeting rural regions where traditional infrastructure is limited.
Speaking during a media call on Monday, Mupita emphasized the need for satellite internet as a supplementary solution to ensure reliable connectivity for businesses and individuals. “To keep customers and businesses connected at all times, we must embrace satellite technology,” he stated.
MTN's LEO satellite trials
The South Africa-based telecom giant is conducting proof-of-concept trials with several LEO satellite operators to evaluate potential collaborations. Mupita revealed that MTN plans to resell satellite internet services to enterprise customers in select countries.
LEO satellites, which provide high-speed internet with lower latency, are increasingly seen as a viable alternative in areas where traditional telecommunications infrastructure, such as fiber or mobile broadband, is difficult or costly to deploy.
Rival operators are also entering the satellite sector. Cell C is pursuing similar agreements, while Vodacom partnered with Amazon’s Project Kuiper in 2023 to expand its satellite offerings in the region.
Mupita emphasized the importance of equitable regulations for satellite internet providers. In South Africa, the Independent Communications Authority (ICASA) is working to establish a regulatory framework for satellite operators, addressing concerns over data privacy, localization, and spectrum access.
“LEO operators should be treated the same as terrestrial operators such as ourselves, subjected to the same regulatory requirements,” Mupita added.
MTN subscriber base surpasses 288 million
Under CEO Ralph Mupita, MTN Group has reached more than 288 million subscribers across 18 markets, solidifying its position as Africa’s telecom giant. Mupita’s leadership has been instrumental in advancing MTN’s expansion, with his stake in the company valued at $4 million.
However, the company reported an 18.5 percent drop in service revenue for the nine months ending Sept. 30, 2024, to R127.37 billion ($7 billion) from R156.29 million ($8.6 billion) in 2023, primarily due to the devaluation of Nigeria’s naira.
Despite the financial setback, MTN remains committed to its Pan-African vision, aiming to strengthen connectivity, drive economic growth, and enhance intra-African trade.
