Ghana regulator introduces technology neutrality for telcos

Ghana's National Communications Authority (NCA) has introduced technology neutrality to tackle non-Significant Market Power (SMP) concerns in the telco industry.

The regulator has taken this step as a corrective measure toward market imbalances and to boost consumer choice.

"This initiative will grant Vodafone and Airtel Tigo (AT) the authorization to re-farm their spectrum assignment in the 900MHz, 1800MHz, and 2100MHz bands to provide 4G services, subject to paying an annual premium," the regulator said in a statement.

Furthermore, technology neutrality will enable operators who do not currently have 4G services to deploy it within their current spectrum assignment to help level the playing field and enhance their competitiveness.

It will also give non-SMP operators with 4G services the ability to re-farm portions of their current spectrum assignment to improve the quality of their 4G services and enhanced consumer choice for 4G services, the NCA continued.

NCA attempts to level the playing fields

Technology neutrality is the regulator's way to level the Ghanaian playing field in the industry.

MTN is the biggest telco in the West African country and its dominance got it into hot water back in 2020 when the NCA classified MTN as a "Dominant/Significant Market Power" and implemented a set of policies to reduce its dominance in the telecom market.

Technology neutrality will allow operators that do not currently have 4G services to deploy it within their current spectrum assignment. (Source: Image by wirestock on Freepik.)

The mobile operator initially tried to fight the matter in court, but later withdrew the court case, choosing to focus instead on finding an amicable resolution with the regulator.

Vodafone officially exited Ghana and completed the sale of its 70% shareholding in Vodafone Ghana to Telecel Group for an undisclosed sum in February 2023, but Telecel kept the Vodafone brand name for local operations.

According to statistics from market research company Omdia, a sister company of Connecting Africa, MTN Ghana is the most dominant operator, with an estimated 26 million users or 68% market share at the end of the second quarter of 2023.

Vodafone was the second biggest mobile operator in the country, with about 7 million mobile subscribers or only 18% market share.

Meanwhile AT had 5 million users with 13% market share, leaving Glo Mobile with just 238,450 users and 0.6% market share.

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*Top image source: Image by ASphotofamily on Freepik.