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TelecomInfrastructure Sharing
By
Aminu B. Suleiman
INTRODUCTION
• INFRASTRUCTURE sharing is a process where two or more
operators share different infrastructure in a particular site as a
mechanism for cost reduction, quality of service improvement
and rapid network expansion while at same time creating a
positive environmental impact with good economic
sustainability.
INFRASTRUCTURE SHARING IN TELECOM
INDUSTRY
There are three dominant forms of sharing possibly deployed
worldwide. They include passive sharing, active sharing and
spectrum sharing.
Passive Sharing: in this form of sharing, operators agree to
share available non-electronic equipment which includes site
space, buildings and easements, towers and masts and power
supply. This technique is suitable especially in densely populated
areas with limited resource availability, in rural areas that are
uneconomical to serve and where new site acquisition is difficult
• Active Sharing, involves sharing of electronic components and facilities
such as base station equipment, microwave radio equipment, switching
centers, sharing common network both circuit-switched and packet-
oriented domains, antennas and receivers. Each operator, however, has its
own individual home network that contains the independent subscriber
data-bases, services, subscriber billing, and connection to external
networks.
• Spectrum Sharing, also known as spectrum trading, is a model that has
recently developed in mature, regulated tele-com markets. It involves
operators leasing their spectrum to other operators on commercial terms.
Because spectrum is a scarce resource that may often be underutilized by
one opera-tor in a given area, spectrum sharing remains a viable option
for two or more operators.
Most challenges confronting Mobile network Operators
There are various challenges confronting mobile network operators. These
challenges impede the faster deployment of services to the underserved
area and evidently, hinder the rapid growth and network expansion. Some
of the challenges include sharp rising of site rentals, tower restriction and
huge cost of demand by the government agencies. Others include erratic
power supply, security threat and vandalization of network equipment.
• Sharp Rising of Site Rentals: Site acquisition remains a key aspect in
establishing and building a cell site. Many operators are challenged by the
high rising cost of site rentals. Site owners are now aware of more players
desiring to rollout in urban and rural areas and hence the demand for
tower sites and rentals are expected to continue to rise sharply on daily
basis.
• Tower Restrictions and Huge Cost Demand: Both the urban planning
ministries and local government authorities, as well as state governments
place restrictions on new tower constructions on the grounds that they
pose health hazards and distorts the beauty of the landscape. This
unfriendly operating environment
which has made the installation of base stations difficult because of the
restrictions and huge demand from government agencies and the host
community remain a constraint. To build a base station requires several
approvals that operators must secure from government regulatory agencies.
• Power Issue: The growth and expansion of mobile telecom networks
depends on key support infrastructure centered on availability of power
supply. Power supply, plays a major role in running the mobile network with
a benchmark network uptime of 99.98% in order to maintain the reliability
and quality of service.
Operators have to keep their networks running on continuous bases 24
hours a day, 365 days a year, regardless of utilization. Demand for service
may drop to zero during night hours on certain sites but operators have no
option to switch the site off during these hours as they cannot predict
subscriber movements. Grid power supply is a major concern in most of the
countries and has affected telecom operations in terms of costs, reliability
and efficiency. About 75% of the sites are off-grid and usually powered by
diesel generators with huge Operational Expenditure (OPEX).The remaining
grid-connected sites still suffer due to the poor quality of power supply and
frequent outages lasting over hours.
Conclusion
• Considering the various challenges facing telecommunication sector which
are confronted by the unprecedented network infrastructure issues, theft,
vanderlization and the increasing Operational expenditure ( OPEX) and
capital Expenditure ( CAPEX) costs as well the demanding network
coverage optimization. if all the network operators will consider
Infrastructure sharing it will be a reliable way of lowering capital and
operating expenditure, expand coverage into previously un-served,
underserved and, less dense areas and meeting up with the universal
service targets. Which will help to solve most of the challenges in the
telecom sector and allows operators to focus on improved innovation,
good customer services and satisfaction.
References
• Ghassan H. Bahjat El-D. Mohamad M. Louay A.C “Telecom Infrastruc-ture
Sharing Regulatory Enablers and Economic Benefits” Booz Allen
Hamilton,Perspective Report, 2007 .
• Powering Telecoms:West Africa Market Analysis Sizing the Potential for
Green Telecoms in Nigeria and Ghana. GSMA Green Power for
Mobile,2013.
Emeka, O. “Telecom Infrastructure Sharing as a Strategy for Cost
Optimization and Revenue Generation: A Case Study of MTN Nige-ria/Zain
Nigeria Colocation. MSc disertation.

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Telecom Infrastructure Sharing

  • 2. INTRODUCTION • INFRASTRUCTURE sharing is a process where two or more operators share different infrastructure in a particular site as a mechanism for cost reduction, quality of service improvement and rapid network expansion while at same time creating a positive environmental impact with good economic sustainability.
  • 3. INFRASTRUCTURE SHARING IN TELECOM INDUSTRY There are three dominant forms of sharing possibly deployed worldwide. They include passive sharing, active sharing and spectrum sharing. Passive Sharing: in this form of sharing, operators agree to share available non-electronic equipment which includes site space, buildings and easements, towers and masts and power supply. This technique is suitable especially in densely populated areas with limited resource availability, in rural areas that are uneconomical to serve and where new site acquisition is difficult
  • 4. • Active Sharing, involves sharing of electronic components and facilities such as base station equipment, microwave radio equipment, switching centers, sharing common network both circuit-switched and packet- oriented domains, antennas and receivers. Each operator, however, has its own individual home network that contains the independent subscriber data-bases, services, subscriber billing, and connection to external networks.
  • 5. • Spectrum Sharing, also known as spectrum trading, is a model that has recently developed in mature, regulated tele-com markets. It involves operators leasing their spectrum to other operators on commercial terms. Because spectrum is a scarce resource that may often be underutilized by one opera-tor in a given area, spectrum sharing remains a viable option for two or more operators.
  • 6. Most challenges confronting Mobile network Operators There are various challenges confronting mobile network operators. These challenges impede the faster deployment of services to the underserved area and evidently, hinder the rapid growth and network expansion. Some of the challenges include sharp rising of site rentals, tower restriction and huge cost of demand by the government agencies. Others include erratic power supply, security threat and vandalization of network equipment.
  • 7. • Sharp Rising of Site Rentals: Site acquisition remains a key aspect in establishing and building a cell site. Many operators are challenged by the high rising cost of site rentals. Site owners are now aware of more players desiring to rollout in urban and rural areas and hence the demand for tower sites and rentals are expected to continue to rise sharply on daily basis. • Tower Restrictions and Huge Cost Demand: Both the urban planning ministries and local government authorities, as well as state governments place restrictions on new tower constructions on the grounds that they pose health hazards and distorts the beauty of the landscape. This unfriendly operating environment
  • 8. which has made the installation of base stations difficult because of the restrictions and huge demand from government agencies and the host community remain a constraint. To build a base station requires several approvals that operators must secure from government regulatory agencies. • Power Issue: The growth and expansion of mobile telecom networks depends on key support infrastructure centered on availability of power supply. Power supply, plays a major role in running the mobile network with a benchmark network uptime of 99.98% in order to maintain the reliability and quality of service.
  • 9. Operators have to keep their networks running on continuous bases 24 hours a day, 365 days a year, regardless of utilization. Demand for service may drop to zero during night hours on certain sites but operators have no option to switch the site off during these hours as they cannot predict subscriber movements. Grid power supply is a major concern in most of the countries and has affected telecom operations in terms of costs, reliability and efficiency. About 75% of the sites are off-grid and usually powered by diesel generators with huge Operational Expenditure (OPEX).The remaining grid-connected sites still suffer due to the poor quality of power supply and frequent outages lasting over hours.
  • 10. Conclusion • Considering the various challenges facing telecommunication sector which are confronted by the unprecedented network infrastructure issues, theft, vanderlization and the increasing Operational expenditure ( OPEX) and capital Expenditure ( CAPEX) costs as well the demanding network coverage optimization. if all the network operators will consider Infrastructure sharing it will be a reliable way of lowering capital and operating expenditure, expand coverage into previously un-served, underserved and, less dense areas and meeting up with the universal service targets. Which will help to solve most of the challenges in the telecom sector and allows operators to focus on improved innovation, good customer services and satisfaction.
  • 11. References • Ghassan H. Bahjat El-D. Mohamad M. Louay A.C “Telecom Infrastruc-ture Sharing Regulatory Enablers and Economic Benefits” Booz Allen Hamilton,Perspective Report, 2007 . • Powering Telecoms:West Africa Market Analysis Sizing the Potential for Green Telecoms in Nigeria and Ghana. GSMA Green Power for Mobile,2013. Emeka, O. “Telecom Infrastructure Sharing as a Strategy for Cost Optimization and Revenue Generation: A Case Study of MTN Nige-ria/Zain Nigeria Colocation. MSc disertation.