Digicel PNG and Vodafone PNG have signed a tower-sharing agreement to co-locate equipment on suitable tower sites across Papua New Guinea.
The deal follows Vodafone PNG’s infrastructure-sharing pact with state-owned operator Telikom PNG announced in August, establishing a framework for co-location while allowing both companies to maintain independent network operations.
Under the agreement, each operator can install equipment on towers owned by the other subject to technical, operational, safety, and commercial requirements as both prepare for 5G deployment.
Cutting Capital Costs Across Rugged Geography
Papua New Guinea presents some of the most expensive operating conditions for telecoms in the Pacific. Mountainous terrain, dense rainforests, and isolated population centres drive up the cost of diesel supply, security, and civil works at remote transmission sites.
Sharing passive infrastructure lets both operators extend rural footprints without pouring duplicate concrete foundations or running separate backhaul links. Digicel PNG Interim Chief Executive Officer Brett Goschen said the arrangement addresses high delivery costs by cutting duplication and speeding network expansion.
By sharing existing tower infrastructure where appropriate, we can expand network reach faster, reduce duplication and costs, and maximize the value of investments already made across the country.
Consolidation Across the Pacific Carrier Market
This bilateral deal mirrors a broader shift across the Asia-Pacific toward asset-light carrier models. Network operators in developing island markets increasingly treat physical towers as shared utilities rather than proprietary competitive moats.
Faster site sharing cuts rural dead zones for enterprise users, logistics providers, and mobile money operators. The challenge now shifts to operational execution. Teams must coordinate shared site maintenance, resolve generator disputes during grid outages, and allocate mast space when both carriers demand additional antenna positions.
Building on State Infrastructure Deals
Vodafone PNG entered the market in 2022 to challenge Digicel’s long-standing footprint and has pushed for shared infrastructure to catch up on nationwide coverage. In August, Vodafone PNG struck an infrastructure-sharing and co-location pact with state-owned operator Telikom PNG to open access to public telecommunications assets.
That arrangement established the groundwork for wider industry cooperation. Combining access to state-owned masts with Digicel’s extensive private footprint allows Vodafone PNG to expand its coverage map while curtailing capital expenditures.
Preparing for Commercial 5G Spectrum
Papua New Guinea’s National Information and Communications Technology Authority (NICTA) has finalized its regulatory framework for issuing 5G spectrum licences in the 2.6 GHz and 3.5 GHz bands. Operators are now positioning their shared physical infrastructure to install mid-band 5G antennas as soon as NICTA initiates the formal licence grant process.
