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Canada’s NuRAN projects higher than expected return on Cameroon NAAS deal

By , Freelance Investigative Journalist
Cameroon , 30 Sep 2021

Canadian mobile and broadband wireless infrastructure solutions provider NuRAN Wireless has connected 48 telecommunications sites in Cameroon in a deal it projects will yield better-than-expected return.

The tower and related equipment went live recently and “has already begun to generate significant traffic,” according to NuRAN officials.

NuRAN plans to deliver 242 sits as part of a Network-as-a-Service (NAAS) agreement entered into with Orange Cameroun in October 2020.

The original contract involved the construction of 122 sites with an expected gross revenue of CA$20-million, but this was extended at Orange Cameroun’s request to include 120 additional sites.

The installations target rural communities previously lacking mobile coverage and are deployed in four different categories based on population density and coverage requirements. The infrastructure provider utilises a carrier-grade GSM base station powered by solar as part of a small-footprint (3 meters x 3 meters x 15 meters tall) remote tower. All sites are scheduled to be delivered latest 2022.

Although there have been some delays due to shipping and logistic hurdles, Francis Letourneau, CEO of NuRAN, remains optimistic that the remaining sites will be rolled out progressively.

“The deployment of these sites will demonstrate our ability to execute on the NAAS business model and highlight the effectiveness and profitability of this model. We are also pleased to be at the centre of bringing connectivity to these regions globally where no connectivity currently exists. The ability to do remote banking, access health care information and communicate widely will translate into very significant economic and social benefits for the population of the areas we cover,” Letourneau said.

The company has promised to report on the site economics including subscription rates as the information becomes available.

NuRAN projects a likely increase in revenue as the selected sites are showing better ARPU (‘Average Revenue Per User') than what was reflected in the initial business case analysis. It assumed a 25% subscription rate for its site economics.

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