9Mobile refutes shutdown rumour

Nyob zoo,

Victoria from Techpoint here,

Here’s what I’ve got for you today:

9Mobile refutes shutdown rumour
Telecom charges may vary by state in Nigeria
MTN to invest about $356M in SA network in 2025

9Mobile refutes shutdown rumour

There’s a rumour flying around that 9Mobile is shutting down. However, the company says that’s not true. The speculation began because subscribers complained about poor service and struggled to switch to other networks. With all the frustration, people just assumed the worst.

9Mobile has admitted there are issues, especially with Mobile Number Portability (MNP), the service that lets you switch networks easily. But they insist they haven’t blocked anyone from leaving and definitely aren’t going out of business. They’re blaming it on technical glitches, calling them “temporary challenges.”

According to them, most of these issues have been fixed, but some customers might still experience minor delays while they optimise their systems. They also admitted that network disruptions have been happening in different parts of the country, but they claim it’s all part of a bigger plan to upgrade their infrastructure and improve service quality. Basically, they’re asking customers to be patient while they work things out.

If you’ve been following 9mobile’s struggles, this isn’t exactly new. Over the years, they’ve lost millions of customers due to poor network quality and financial troubles. At their peak in 2016, they had over 22 million subscribers, but as of January 2025, they’re down to just 3.2 million. That’s a massive drop.

To turn things around, LH Telecommunication Limited acquired 9Mobile last year, pumping in fresh capital and appointing a new board. But so far, customers are still waiting for real improvements. There’s a plan in place, but whether it works or not remains to be seen.

In January 20255, 9Mobile announced a big comeback strategy, involving a $3 billion investment to expand 2G, 3G, and 4G coverage while cutting costs by sharing infrastructure instead of building everything from scratch. But raising that kind of money is tough, especially with Nigeria’s high-interest rates.

CEO Obafemi Banigbe has also warned that the entire telecom industry is struggling with rising costs, making it even harder to stay pr0fitable. So, while 9Mobile is pushing for a major comeback in 2025, whether they can actually pull it off is still up in the air.

Telecom charges may vary by state in Nigeria

Telecom operators in Nigeria are thinking about changing how they charge for calls and data. Instead of the current one-size-fits-all national tariff, they want to introduce a regional tariff system that considers the unique challenges in different states. Basically, if a state makes it hard for them to operate, people there might have to pay more for telecom services.

At the 7th Policy Implementation Assisted Forum (PIAFo) in Lagos, the telcos explained their reasoning. According to them, some states are easier to do business in, while others throw all sorts of hurdles their way, including multiple taxes and restrictions on infrastructure. So, they believe the fair thing to do is charge differently based on how business-friendly a state is.

The Chairman of ALTON, Engr. Gbenga Adebayo, pointed out that in states where operating costs are high and negotiations aren’t working, the extra expenses should be reflected in the tariffs. In other words, if it’s more expensive to run their networks in a particular state, customers in that state should expect to pay more.

Backing this up, ATCON President, Tony Emoekpere, argued that the current system is unfair because operational costs aren’t the same everywhere. For instance, if a telecom company has to spend extra to transport diesel across the country to keep their network running, that extra cost should either be added to the service price or offset by the government making the business environment easier.

Meanwhile, PIAFo convener Omobayo Azeez highlighted the importance of protecting Nigeria’s digital economy. He noted that President Bola Tinubu’s recent approval of the Critical National Information Infrastructure (CNII) Order is a major step toward strengthening the country’s digital landscape.

For now, this regional tariff plan is still just an idea. The Nigerian Communications Commission (NCC) recently approved a 50% tariff increase due to rising operational costs, but any further changes, including a shift to regional pricing, would still need NCC’s approval before it becomes official.

MTN to invest about $356M in SA network in 2025

MTN is set to drop between R5.7 billion and R6.7 billion ($303 million–$356 million) into its South African network this year, mainly to stay competitive in the prepaid market. That’s still a lot of money, but it’s R3.1 billion–R4.1 billion ($165 million–$217 million) less than what they spent last year. Meanwhile, Vodacom is going all out, planning to pump up to R11.2 billion ($596 million) into its network.

When it comes to network quality, money talks. Building new towers, upgrading existing ones, and rolling out fancy new tech like 5G and Carrier Combining (3CC) isn’t cheap. Over the last few years, MTN and Vodacom have spent about R10 billion ($532 million) annually to keep their networks solid. A big chunk of that has also gone into ensuring their sites stay online during load-shedding, because, well, South Africa.

MTN CEO Ralph Mupita says despite the lower capex budget, the network’s growth won’t slow down. They’ve already spent R4.5 billion ($239 million) on network resilience, so now it’s about getting a return on that investment.

That said, prepaid is proving tricky, especially in two provinces (though MTN won’t say which ones). CEO Charles Molapisi insists they’re still growing elsewhere, and overall, MTN’s prepaid customer base grew by 5.5% by the end of 2024. Prepaid data use also jumped 9.5% year-on-year, while postpaid users went all in, increasing data consumption by a massive 36.5%.

Financially, MTN SA is still making bank, with total revenue growing by 1.5% to R52.6 billion ($2.8 billion) and service revenue up 3.1% to R43.2 billion ($2.3 billion). Voice revenue dipped 5.5%, but overall earnings (Ebitda) climbed 5.1%, thanks to strong demand for home internet and bundled voice-data plans. They also added 2.4 million new customers, bringing their total subscriber base to 39.8 million.

What’s more, MTN is banking on 5G and home Internet (FTTH & FWA) to keep growing. They’ve also got big enterprise contracts coming up for renewal, which might squeeze margins short term but should boost revenue in the long run. The big goal? Stay pr0fitable, keep cash flowing, and hold onto their top spot in SA’s mobile market.

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