Telecom Egypt and 4iG Group signed a Memorandum of Understanding (MoU) to establish a joint venture to build, operate and commercialize Fiber to the Home (FTTH) and Fiber to the Site (FTTS) fiber access infrastructure on a wholesale basis in Egypt.
Mohamed Nasr Eldin, CEO of Telecom Egypt, and Gellért Jászai, Chairman of 4iG Group, signed the MoU in the presence of H.E. Prime Minister Dr. Mostafa Madbouly and H.E. Dr. Amr Talaat, Minister of Communications and Information Technology of Egypt, as well as top officials from both companies.
FTTH Network Expansion in Egypt
The joint investment aims to build a modern fiber network that equips (at minimum) around six million households with access to a state-of-the-art, high-speed network in the future.
According to the agreement inked in Cairo, the proposed joint venture will invest approximately USD 600 million—to be implemented in Egypt's fiber access infrastructure in the coming 10 years.
During the months to come, 4iG Group and Telecom Egypt will agree on the business model, exact ownership structure, governance processes and technological details of the joint venture.
This partnership aligns with Telecom Egypt’s plan to transform all areas into FTTH networks under the Ministry of Communications and Information Technology’s “Digital Egypt” strategy, in line with Egypt’s Vision 2030 for a digitally transformed society and a robust digital economy.
On the mobile broadband side, connecting mobile sites with fiber infrastructure will, in turn, empower the mobile networks to satisfy the growing demand for capacity and enable the real deployment of massive 5G rollouts.
Mohamed Nasr, Managing Director and Chief Executive Officer at Telecom Egypt, commented, “We are pleased to partner with 4iG Group. Through this agreement, which will capitalize on our respective strengths in the ICT industry, we will accelerate Egypt's digital transformation thanks to the future-ready network that will ramp-up 5G and many other next-generation services such as IoT and enterprise networks. We look forward to this endeavor, which will provide unparalleled performance and future-proof connectivity for generations to come, while ensuring that we maintain our position as one of the leading ICT providers in Egypt.”
Telecom Egypt’s efforts and continuous upgrades have bolstered the infrastructure's capacity to accommodate the unparalleled surge in traffic, significantly enhancing Egypt's ongoing digital transformation. In the past six years alone, the country’s internet speeds have increased ten-fold.
Following the signing ceremony, Gellért Jászai, Chairman of 4iG Group, added, “This collaboration is another opportunity for 4iG Group to market its expertise internationally in line with its long-term business strategy. We have found the best partner in Telecom Egypt for our ambition, just as we have in the already-launched subsea cable project. The combination of the strengths and expertise of the two major companies foresees the success of the Egyptian fiber network development program. It also ensures the application of the latest technologies and innovations, as well as the establishment of high-quality services across the country.”
Also Read: Telecom Egypt Q1 Results: Strong Growth Momentum Sets the Tone for 2024
Telecom Review Insights: Explosive Speeds: Gulf Countries Dominate in Fiber Broadband
