From scale to efficiency: towercos are rethinking cost structures for the next phase

The towerco model has traditionally relied on significant upfront capital investment, long‑term recurring revenue and a lean operational cost base. This structure has supported strong growth over the past decade, particularly as towercos expanded their portfolios through large, debt‑funded acquisitions.

However, the industry has now entered a new phase, in which growth through expansion is no longer the primary strategic lever. In this phase, towercos face the challenge of shifting from expansion to efficiency. Towercos are adopting strategies such as staff reduction and land acquisition, but these are not yet sufficient to strongly improve financial performance.