Minister defends award of 5G contract to consortium

Minister defends award of 5G contract to consortium

The Minister of Communications and Digitalisation, Mrs Ursula Owusu-Ekuful, has defended the decision to award the 5G broadband services network rollout contract to Next-Gen Infrastructure Company (NGIC), a Special Purpose Vehicle (SPV) established just one week before the contract was awarded.
The SPV is tasked with developing new shared infrastructure to deliver affordable 5G mobile broadband services across Ghana.
According to the Minister, the company was created specifically for this purpose because no existing neutral infrastructure company could handle the rollout.

Composition of the 5G
The SPV is a consortium comprising seven partners, including Ascend Digital, K-NET, Radisys, Nokia, Tech Mahindra, and two telecommunications companies—AT Ghana and Telecel Ghana.
Addressing the media, Owusu-Ekuful explained that auctioning the contract was not pursued due to past experiences and setbacks that hindered the rollout of 4G technology in the country.

15% 4G penetration since 2015
She pointed out that since its introduction in 2015; 4G has only achieved a 15% nationwide penetration.
The Minister detailed that the partnership agreement, signed in Mumbai, India, on Monday, May 27, was the culmination of a process that started over two years ago.
NGIC will offer an open-access-based neutral platform to all Mobile Network Operators (MNOs) and collaborate with all tower companies in the country.

Leading technology providers
The partnership includes leading technology providers Nokia, Radisys, and Tech Mahindra, with discussions ongoing with Microsoft, which has shown interest in the project.
The government stated that these partners have formed NGIC, which has been awarded a 5G license.

5G services expected to be launched in 6 months
NGIC is expected to launch 5G services across Ghana within the next six months, with plans for further expansion into other parts of Africa.
NGIC will be the first entity to build a nationwide 4G/5G network and will collaborate with telcos to introduce affordable 4G/5G-enabled fixed wireless access (FWA) customer premises equipment (CPE) and smartphones in Ghana this year.
The partnership aims to enhance the lives of Ghanaians by introducing digital services in education, healthcare, and digital payment transactions through peer-to-peer (P2P), peer-to-merchant (P2M), and merchant-to-merchant (M2M) systems.

Cloud Native Core Network
Tech Mahindra will build a Cloud Native Core Network powered by leading original equipment manufacturer (OEM) platforms.
The shared 4G and 5G infrastructure will be built by Nokia and Radisys, with IT architecture and integration provided by Microsoft and Tech Mahindra, ensuring the rollout leverages cutting-edge world-class expertise and technology to build a robust digital infrastructure.
This initiative is expected to reduce the digital divide and promote financial inclusion.
Moreover, the multi-party partnership will support NGIC in the comprehensive deployment of network infrastructure and related services.
Communications service providers (CSPs) aim to address both enterprise and consumer markets with enhanced digital services.

Affordable handsets
NGIC plans to adopt India’s successful model of affordable handsets, digital platforms, and localized content and applications, aiming to replicate this high-speed mobile data model across Africa, starting with Ghana.
Additionally, it will respect Environmental, Social, and Governance (ESG) fundamentals by reducing the environmental impact and carbon footprint of the project.
Also, the NGIC network will provide a strong foundation for the government to offer new services to the people of Ghana through extended inclusion programs, e-government applications, and unlimited opportunities for the private sector and the economy to grow.

Democratization of mobile broadband services
The implementation of this initiative is expected to democratize mobile broadband services and become a catalyst for growth in Ghana’s telco market, enabling MNOs to focus on customer excellence, deliver differentiated and innovative services, and foster a high-tech economy with digital entrepreneurs.
The project is also expected to facilitate the entry of other network operators into the Ghana market by using the infrastructure to deliver their services.
Mrs Owusu-Ekuful further explained that NGIC’s neutral hosting model and Network-as-a-Service (NaaS) offering will accelerate national enablement programs, reduce the digital divide, optimize capital expenditure, and ensure efficient operating costs.
She expressed optimism that the partnership would provide opportunities for young people to become digital entrepreneurs, driving innovation and economic growth.
Mrs Owusu-Ekuful stated that NGIC will enable a “reset” of Ghana’s economy by attracting investments across all sectors and providing access to various e-services, improving the quality of life for all Ghanaians by ensuring everyone, regardless of location, has access to the latest digital services.
The initial focus of the project is on building scalable shared infrastructure in Ghana, with the potential to expand to other parts of Africa.
NGIC may seek additional funding through capital markets to support future scaling.
The Minister was confident that the partnership would enhance the lives of Ghanaians by introducing digital services in education, healthcare, and digital payment transactions, creating sustainable jobs for value-added service (VAS) operators and other tech entrepreneurs.
This initiative aims to reduce the digital divide and promote financial inclusion, supporting NGIC in the entire deployment of network infrastructure and associated services as CSPs aim to address both enterprise and consumer markets with enhanced digital services.

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