GSMA Reveals MTN’s N11 Billion Investment in 2,502km Fiber Optic Cables.

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MTN Nigeria, the country’s largest telecom operator, spent a staggering N11.1 billion repairing and relocating 2,502km of fiber-optic cables over a two-year period, according to the GSMA Nigeria Digital Economy report.

The report revealed that MTN spent N4.4 billion in 2022 to repair 1,069 km of fiber and an additional N6.7 billion in 2023 to fix 1,433 km. The fiber damages were attributed to construction activities, road projects, and acts of vandalism.

The Head of Sub-Saharan Africa at GSMA, Angela Wamola, emphasized the impact of vandalism on the telecom sector. “Vandalism and other forms of damage have been causing significant losses to the sector. In some cases, the affected areas are easily accessible and can be quickly repaired.”

However, Wamola noted that the damage has resulted in sustained complaints from consumers about the availability of services. “This is one of the areas we’ve modeled in our report, which highlights the impact of vandalism on the evolution of connectivity in Nigeria.”

The GSMA report highlighted the importance of fiber-optic cables in providing connectivity, with Nigeria deploying 78,676 km of fiber-optic cable as of 2023. However, the report noted that telcos have had to adopt strategies to address the ongoing problem of excessive cable cuts, including incorporating additional protection into the cable infrastructure and increasing maintenance budgets.

The federal government has taken steps to address the issue, releasing the official gazette, ‘Designation and Protection of Critical National Information Infrastructure Order, 2024’, which makes it an offense to willfully damage critical telecom infrastructure. However, the legislation remains under consideration.

Industry stakeholders warn that continued delays in policy interventions could slow Nigeria’s broadband expansion, affecting both businesses and consumers relying on reliable connectivity. As the GSMA report noted, “As a result, fiber networks in Nigeria are more expensive to build and maintain than they otherwise would be. These costs are substantial.” The report further stated, “For instance, MTN Nigeria was required to relocate 1,069 km of fiber cables in FY22 and a further 1,433 km in FY23. The budgets allocated for these activities were N4.4bn and N6.7bn, respectively.”

The Head of Sub-Saharan Africa at GSMA, Angela Wamola, emphasized the need for policy interventions to address the issue. “Vandalism and other forms of damage have been causing significant losses to the sector. In some cases, the affected areas are easily accessible and can be quickly repaired.”

However, Wamola noted that the damage has resulted in sustained complaints from consumers about the availability of services. “This is one of the areas we’ve modeled in our report, which highlights the impact of vandalism on the evolution of connectivity in Nigeria.”

The federal government has taken steps to address the issue, releasing the official gazette, ‘Designation and Protection of Critical National Information Infrastructure Order, 2024’, which makes it an offense to willfully damage critical telecom infrastructure. According to the Minister of Communication and Digital Economy, Bosun Tijani, the gazette aims to provide legal protection to telecom infrastructure.

Industry stakeholders warn that continued delays in policy interventions could slow Nigeria’s broadband expansion, affecting both businesses and consumers relying on reliable connectivity. With the rising costs of maintaining fibre networks, the need for urgent action to address the issue of vandalism and damage to telecom infrastructure has become increasingly important

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