Connect with us

Business

The rich country with the worst mobile-phone service

5G networks are fast. Their roll-out is not

Published

on

28 Views

(The Economist)

BRITAIN HAS long been a pioneer in telecoms. In 1837 it built the world’s first commercial telegraph; the first transatlantic call was placed from London in 1927; in 1992 a British programmer sent the first text message to a mobile phone.

Today it lags rather than leads. According to figures provided to The Economist by Opensignal, a research firm, Britain ranks 46th for download speeds out of the 56 developed and developing countries for which there are data (see chart).

That gives it the worst mobile service in the rich world. Some of this is due to demand. Over the past three years data usage on mobile devices has doubled as people stream films and play games.

The busiest parts of cities often lack mobile reception because the system is at capacity. But mainly it is an issue of supply.

British users of 5G—the fifth generation of networks, which offers speeds up to ten times faster than 4G—are only on it 11% of the time. That puts Britain 43rd out of the 56 countries.

This lacklustre performance is caused by a combination of government U-turns, insufficient investment and sclerotic planning.

First, the U-turns. Until 2020 Britain’s four mobile operators were enthusiastic buyers of 5G equipment manufactured by Huawei, a Chinese firm.

But after intense lobbying from America, Britain’s politicians reversed course: telecoms operators must now remove all their 5G Huawei equipment by 2027. 

This has delayed 5G’s roll-out. The country’s four mobile providers—BT/EE, O2, Three and Vodafone—have spent about £2bn ($2.6bn) over the past four years ripping out and replacing Huawei equipment. Second, the need for more investment.

About 90% of Britain’s 5G signals are broadcast from bolt-ons to the existing 4G network.

This “non-stand-alone” version of 5G does not allow “network slicing”, a way to get greater capacity in congested areas, or the quick response times needed to communicate with new technologies such as self-driving cars.

A new “core network” using stand-alone technology must be installed to get the full benefits of 5G. But, according to Frontier Economics, a consultancy, the four mobile operators are likely to invest only about £9bn of the £22bn-32bn required.

A marriage might help. Vodafone and Three, the country’s third- and fourth-largest mobile operators, say they are too small to justify the high capital expenditure of stand-alone 5G, and that they would invest £11bn over a decade if they could merge.

Karen Egan of Enders Analysis, a consultancy, estimates that synergies would result in a 30% increase in network capacity. 

The Competition and Markets Authority (CMA), a watchdog, is due to decide on the merger on December 7th; it has suggested that 5G investment would be a legally binding condition for a deal. Even if the CMA allows the merger, improving 5G network capacity means erecting more masts.

In 2022 the rules were loosened to permit masts less than 30 metres high to be built without having to seek planning permission. But operators still complain.

Shorter masts cover a smaller area, so more must be built. O2 says it takes at least six months to get a decision on a mast over 30 metres high; applications are often stymied by local opposition.

Overcoming these obstacles is vital for achieving the goal of universal 5G by 2030.

It will also be needed for the eventual roll-out of 6G. In laboratory environments the next generation of mobile networks has reportedly notched up speeds 100 times faster than 5G. Britain is anything but that.■

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

OPSN Applauds President Tinubu for FRC tax halt

The OPSN urges continued engagement between regulatory institutions and the private sector to co-create regulatory policies that drive economic growth without stifling entrepreneurship.

Published

on

By

23 Views

The OPSN and its stakeholders have been in active dialogue with the Federal Ministry of Industry, Trade and Investment, and other critical agencies, advocating for business-friendly policies that foster enterprise growth, protect jobs, and enhance national productivity.

The Organised Private Sector Nigeria (OPSN) comprising NACCIMA, MAN, NECA, NASSI and NASME commends President Bola Ahmed Tinubu for having suspended the implementation of certain provisions of the Financial Reporting Council (FRC) Act 2023, which imposed financial caps and additional compliance dues on private companies.

Engr Jani Ibrahim, the National President of NACCIMA/Chairman OPSN, expressed gratitude on behalf of the private sector business, in a statement on Thursday.

The statement reads:” This action comes as a timely relief to the organised private sector members, including the Micro, Small and Medium Enterprises (MSMEs), many of whom had expressed deep concerns about the financial and administrative burden posed by the mandatory levies and reporting obligations under the current FRC framework.

The OPSN and its stakeholders have been in active dialogue with the Federal Ministry of Industry, Trade and Investment, and other critical agencies, advocating for business-friendly policies that foster enterprise growth, protect jobs, and enhance national productivity.

We therefore commend the efforts of the Government for this timely decision, which is a proactive and responsive measure that supports the Federal Government’s commitment to improving the ease of doing business and sustaining investor confidence.

The suspension provides a critical window for stakeholders to revisit the framework and ensure that future implementations of financial reporting obligations are transparent, equitable, and sensitive to the realities and legitimate concerns of Nigerian businesses.

The OPSN urges continued engagement between regulatory institutions and the private sector to co-create regulatory policies that drive economic growth without stifling entrepreneurship.

We remain committed to constructive dialogue and collaboration that will advance Nigeria’s economic transformation agenda.”

Continue Reading

Business

Dangote Cement Creates 50 Agric Entrepreneurs

The beneficiaries were selected from the company’s host communities of Gboko Local Government Area of Benue State.

Published

on

By

22 Views

Determined to support the government in its food security efforts, Dangote Cement Plc has launched a Farmers Empowerment Programme in Benue State.

The initiative is aimed at enabling 50 farmers to produce subsistence and cash crops in commercial quantities from Benue State, considered to be the food basket of the nation.

The programme is coming barely two months after the company empowered businesswomen in Gboko host communities of the State with cash grants, thus deepening business activities in the State.

Earlier, the company had increased bursary payments to students of host communities by more than 100 percent.

Speaking Thursday at the launch of the Farmers Empowerment Programme, General Manager Social Performance, Johnson Kor, described the programme as ‘historic and innovative.’

He said that the beneficiaries were selected from the company’s host communities of Gboko Local Government Area of Benue State.

According to him, the beneficiaries were carefully selected from the six catchment areas of the Local Government.

Mr. Kor said the projects have been earmarked for the communities as captured in the extant Community Development Agreement (CDA), adding that the contents of the CDA are progressively being executed. “Today we are witnessing an historic occasion in our journey of mutual development.

Farmers Empowerment Programme is the first programme to be launched since we signed the CDA with the immediate host communities in December 2024,” he said.

In his speech, Plant Director, Dangote Cement, Gboko Plant, Munusamy Murugan, said the company will also support farmers with fertilizers, Agro chemicals, Knapsack Sprayers and various types of seedlings. Mr. Murugan who was represented by Head of Production Department, Engr Soom Kiishi said: “This is the first batch but certainly just the beginning, and certainly not the end.

We plan it to be an annual event, but the choice of the Farmers programme may change, depending on the choice of the benefiting communities.”

He said that other economic empowerment programmes are lined up in the coming weeks.

“The Youth Empowerment Programme will soon be launched, and selected beneficiaries will receive training in Welding & Fabrication, and Solar Electrical Installation from Professional personnels,” he added.

He said the company’s scholarship scheme cuts across students from various disciplines and tertiary institutions.

In his address to the communities, a Consultant from Abbass Corporate Services, Dr. Ahemen Aondoaver Samuel, advised the beneficiaries to make use of what he described as a rare opportunity from the Dangote Cement Plc.

The Consultant said that the company’s effort will help transform beneficiaries into entrepreneurs in the agricultural sector and enable them to support the government’s food security effort.

A member of the community, Kwaghgba Isaac, described the Farmers Empowerment Programme as a historic and huge intervention from the company, noting that the effort will not only boost subsistence farming, but help feed the nation.

He urged members of the communities to sustain the peaceful coexistence currently being enjoyed with the company.

Continue Reading

Business

Nigeria’s economy grows 3.7% in H1- Stanbic IBTC report

Muyiwa Oni, Head of Equity Research, West Africa at Stanbic IBTC Bank, said that the estimated 3.7 percent year-on-year GDP growth aligns with expectations for annual growth of 3.5 percent.

Published

on

By

39 Views

• President Bola Tinubu

The Nigerian economy grew by 3.7 percent in the first half of 2025, driven by improved business conditions and increased oil production.

This was revealed in the Stanbic IBTC Bank Nigeria Purchasing Managers’ Index (PMI) report compiled by S&P Global and released on Tuesday.

Earlier, the World Bank estimated that Nigeria’s economy would grow by 3.6 percent in 2025, higher than the 3.4 percent recorded in 2024, despite shifts in global trade dynamics.

This projection is lower than the Central Bank of Nigeria’s estimate of 4.17 percent and the ambitious 5.5 percent GDP growth forecasted by the Nigerian Economic Summit Group in January.

Muyiwa Oni, Head of Equity Research, West Africa at Stanbic IBTC Bank, said that the estimated 3.7 percent year-on-year GDP growth aligns with expectations for annual growth of 3.5 percent.

He said, “Insights from the monthly PMIs and crude oil production data from the Nigerian Upstream Petroleum Regulatory Commission suggest an economy that grew by an estimated 3.7 per cent y/y in H1 2025, supported by higher crude oil production and improved growth in manufacturing and services, while agriculture continues to lag its long-term average growth rate of 3.6 per cent.”

Continue Reading

Trending