UAE-based telecom and technology giant e&, previously known as Etisalat Group, has announced a significant investment of $6 billion to advance digital infrastructure across 16 countries. This ambitious initiative, slated for execution between 2024 and 2026, was revealed at the Mobile World Congress in Barcelona. The commitment, part of the International Telecommunication Union’s Partner2Connect Digital Coalition, aims to propel digital capabilities and foster economic growth across three continents.
The Partner2Connect Digital Coalition, under the aegis of the Geneva-based ITU (a specialized agency of the United Nations), focuses on mobilizing resources and partnerships to achieve universal and meaningful connectivity. e&’s substantial investment will focus on enhancing connectivity, lowering the cost of telecom services, and expanding the use of artificial intelligence technologies.
Hatem Dowidar, Group CEO of e&, emphasized the company’s objective to drive economic growth and innovation while significantly reducing inequalities, aiming for a more inclusive digital world. The investment will span across diverse markets, including the UAE, Saudi Arabia, Afghanistan, several African countries, Egypt, and Pakistan, among others.
The funds are earmarked for boosting digital inclusivity and enhancing people’s lives by facilitating the widespread adoption of digital services like mobile financial solutions, telehealth, and digital education in underserved regions. Further, e& plans to reinvest in building future-ready networks to accelerate technology adoption, increase fiber penetration, and enhance mobile network speeds.
“This investment will enable us to better serve our customers and empower them to participate in more economic activities,” Dowidar stated.
The commitment made by e& is part of a larger initiative by various technology companies at the MWC. Notable pledges include China Telecom’s $1.4 billion for rural connectivity in China, Veon’s $600 million for Ukraine’s digital infrastructure, and Ooredo’s $1.1 billion for developing nations across North Africa, the Middle East, and the Indian Ocean.
The Partner2Connect coalition has successfully mobilized over $46 billion in commitments over the past two years. Doreen Bogdan-Martin, Secretary-General of the ITU, highlighted the impact of these commitments, stating that millions worldwide will benefit from accessible and affordable connectivity.
As the telecom industry faces technological disruption, operators like e& are transforming their operations to expand their reach and introduce new revenue streams amid growing competition. The recent announcement of a 3% rise in e&’s 2023 profits to $2.8 billion, with a revenue increase to $14.65 billion, underpins the company’s robust growth. Moody’s Investors Service also predicts e& to lead revenue growth in the GCC telecom sector, as the company continues to expand its international market presence.
