Telecom Egypt and Vodafone Egypt have entered into 5G deals to the value of $600m.

Telecom Egypt and Vodafone Egypt have signed long-term strategic infrastructure agreements, to the value of $600 million.

The agreements aim to develop Vodafone Egypt’s networks and support its preparations for the rollout of 5G services.

The deals tread on the heels of a recent 5G licence procurement by Vodafone Egypt from the National Telecommunications Regulatory Authority.

The agreements enable Vodafone Egypt, Telecom Egypt’s largest operator client and the owner of the largest mobile market share in Egypt, to leverage Telecom Egypt’s integrated infrastructure and fibre optic network to deliver services to its customers through various stages until 2034.

In a joint statement, the telcos say the deals aligns with Telecom Egypt’s strategic plan to monetise its network which serves as the foundation for delivering 5G services.

The partnership covers the extension of Telecom Egypt's transmission services agreement with Vodafone Egypt until 2031, securing Vodafone Egypt's current and future expansion. It also includes a four-year agreement for fibre connectivity to Vodafone Egypt's mobile sites. In addition, several other agreements have been signed for virtual fixed voice and internet services, enabling Vodafone Egypt to expand its integrated portfolio of communications services in the Egyptian market.

According to Amr Talaat, minister of communications and information technology, the deals are a testament to the significant progress made by the telecommunications and information technology sector in Egypt.

“As 5G technology relies on a robust fibre optic network to connect supporting towers, these agreements serve as the cornerstone for the 5G rollout, enabling both companies to work together to deliver enhanced services to citizens. It is also important to highlight the considerable efforts made in recent years to strengthen mobile network infrastructure.”

For Mohamed Abdallah, Vodafone Egypt CEO the agreements about investing in infrastructure to deliver the latest technology for customers.

“This is part of our ambitious vision, following our recent acquisition of the 5G services license with an investment exceeding US$150 million. We are now on the verge of a new phase and are fully equipped to offer the best services with the highest quality standards.”