South African telecommunications company Comsol has secured an undisclosed multibillion-rand investment to establish a national wholesale 5G broadband network, marking a significant strategic shift from its traditional focus on business connectivity toward the home internet market.

The company has already begun rolling out the network, which currently reaches more than one million households, and plans to expand further across the country by the end of 2026. The rollout targets approximately 2,000 base stations nationwide.

A wholesale-only model

What distinguishes Comsol from traditional mobile operators is its wholesale-only approach. Rather than selling internet packages directly to consumers, Comsol provides the essential 5G infrastructure that internet service providers (ISPs), mobile virtual network operators (MVNOs), and other resellers can use to create and market their own broadband services. The model can be compared to electricity generation: Comsol generates the power, while other companies sell it under their own brand names.

The approach carries clear advantages in the South African context. By not competing with consumer brands, Comsol avoids the high costs associated with retail marketing and customer acquisition. It also eliminates conflicts of interest, since the company does not compete with the resellers using its network, making it a reliable partner for ISPs and MVNOs that need 5G capacity without the burden of building their own infrastructure.

South Africa's 5G landscape

South Africa's journey into 5G technology began in 2020, when Vodacom and MTN launched the country's first commercial 5G services following successful spectrum auctions. Operator Rain has since developed a significant presence in the 5G space by offering a data-only, fixed wireless service designed for home broadband users, while Telkom has expanded its 5G coverage across key urban areas.

Comsol is entering this market not as a direct competitor to these companies but as a wholesale provider. The company will offer capacity to smaller businesses, allowing them to access its network without heavy investment in their own infrastructure. This is particularly significant in South Africa, where many areas — especially peri-urban and underserved regions — still lack reliable high-speed broadband, and where the ability to reuse a shared network can matter as much as raw coverage expansion.

Comsol's planned nationwide wholesale 5G network of 2,000 base stations could extend access in regions that larger retail operators have not prioritized. By enabling multiple smaller resellers to use the same infrastructure, Comsol helps spread deployment costs across more than one service provider, a structure that may be especially relevant for internet providers looking for capacity without the expense of building parallel networks.

Funding details remain undisclosed

While the exact amount of funding has not been disclosed, it has been described as a multibillion-rand investment, indicating a strong commitment to developing national infrastructure. Comsol has not revealed its investors or the specific nature of the funding, whether through loans, stock sales, or both.

For South African households that currently depend on fixed-line fibre, outdated DSL, or high-cost mobile data packages for their internet needs, the growth of wholesale 5G infrastructure means more competition at the reseller level — competition that, according to the report, is likely to lead to better options and lower prices for consumers in the long run.