Telecommunication companies in Nigeria are turning to satellite providers like Starlink to bridge the digital divide in rural areas where traditional infrastructure such as towers and base stations is impractical. According to the Nigerian Communications Commission (NCC), 27 million Nigerians lack access to telecom services, with broadband penetration at just 41.56% as of September. The Federal Government has also reported that 301 local government areas remain without internet access.
The Global System for Mobile Communications Association (GSMA) highlighted the connectivity challenges in its report, The Mobile Economy Sub-Saharan Africa 2024. It revealed that around 13% of Nigeria’s population and Sub-Saharan Africa as a whole were not covered by mobile broadband networks in 2023. Telecom operators are addressing this gap through partnerships with satellite and non-terrestrial networks (NTNs), which offer solutions to the limitations of rural connectivity.
Low Earth Orbit (LEO) satellites have emerged as a game-changer for high-speed internet in remote areas. With their scalability and cost-effectiveness, these satellites, alongside High-Altitude Platform Systems (HAPS), have gained traction. Starlink, Elon Musk’s satellite internet service, has been pivotal in boosting connectivity across Nigeria, selling out in some regions and facilitating partnerships with local telecoms.
Airtel Nigeria has partnered with Eutelsat OneWeb to deliver high-speed internet to underserved areas, part of a larger collaboration between Airtel Africa and OneWeb initiated in 2022. MTN is also trialing rural connectivity solutions through alliances with Starlink, OneWeb, Omnispace, Lynk Global, and AST SpaceMobile. Meanwhile, Africa Mobile Networks (AMN) is using Starlink for backhaul services in rural communities, with initial deployments beginning in Nigeria in April 2024.
Government efforts complement these private-sector initiatives. The NCC plans to expand telecom access in rural areas from 40% to 80% by 2027, leveraging satellite solutions from both NigComSat and private operators. Despite these advancements, the GSMA cautions that the adoption of satellite-enabled services hinges on the availability of compatible devices. It projects that satellite connectivity could unlock a $30 billion revenue opportunity for Sub-Saharan Africa by 2035.
While satellites offer a near-term solution, experts stress that fibre optic networks are critical for long-term connectivity. Nigeria’s government is addressing a 90,000 km fibre optic gap through a $2 billion special-purpose vehicle (SPV) project aimed at expanding the national fibre network from 35,000 km to 125,000 km. Minister of Communications, Innovation, and Digital Economy Bosun Tijani noted that the initiative would strengthen fibre-to-base-station connections, enhancing internet access nationwide.
Despite the challenges of deploying infrastructure in rural areas, satellite partnerships offer a commercially viable alternative by reducing costs. This growing synergy between telecoms and satellite providers represents a significant step toward achieving universal internet access and fostering economic growth across Nigeria’s underserved regions.
