NCC launches probe into telecom giants’ market grip

NCC boss, Dr. Aminu Maina

The Nigerian Communications Commission (NCC) has kicked off a detailed study on competition in the telecom sector. The goal? Tackle worries about market dominance and foster fair, effective, and lasting rivalry among players.

NCC announced this at a stakeholders’ forum in Lagos on Tuesday, January 13, 2026, held in partnership with PricewaterhouseCoopers. The event focused on the “Study of Competition in the Nigerian Telecommunications Industry.”

Mrs. Omotayo Mohammed, Head of Tariff, Policy, Competition, and Economic Analysis at NCC, explained that the review is essential. It will check if current competition policies still match today’s market dynamics.

She highlighted how the sector, contributing 9.1% to Nigeria’s GDP in Q3 2025, has transformed. Shifts in revenue models, investments, and market behaviors are driven by fast tech advances, changing consumer habits, soaring costs, and intense rivalry.

These forces have amplified fears over market concentration, entry barriers, and the survival of smaller operators.

According to Mohammed, the last comprehensive, industry-wide competition study conducted by the Commission was concluded in 2013, while subsequent studies focused on specific services and market segments.

Mohammed,  explained that developments in technology, market structure and consumer behaviour now necessitated a holistic reassessment of competition across the telecommunications value chain, News Agency of Nigeria (NAN), reports.

She said the study was diagnostic and evidence-based, stressing that it was not designed to pre-judge outcomes or single out any operator.

Also speaking, Akolawole Odunlami, Director, Strategy, PwC Network, said the study was timely, given the slowing growth and structural shifts in the global telecommunications industry.

Odunlami said the global telecoms sector was projected to reach about 1.3 trillion dollars by 2028, but growth had slowed to about two to three per cent annually, compared to about four per cent year-on-year before the COVID-19 pandemic.

He noted that while subscriber numbers in sub-Saharan Africa continued to increase, most operators were experiencing declining average revenue per user (ARPU), intensifying competition and placing pressure on traditional business models.

According to him, consumer behaviour has changed, with users now digital-first and seeking experiences powered by connectivity rather than just voice or data services.

“Today’s consumers are not just buying data; they are looking for digital experiences such as entertainment, financial services, self-service applications and social connectivity, with data serving as the backbone,” Odunlami said.

He said globally, telecommunications operators were rethinking their business models by integrating lifestyle services into their platforms, allowing users to access utilities, health services and fintech offerings through mobile applications.

Odunlami added that Over-The-Top (OTT) platforms such as WhatsApp and Microsoft Teams had shifted traditional voice and messaging revenues, making data the primary driver of communication and service delivery.

He said the evolution of technology, including the rollout of 5G and future 6G networks, would further reshape competitive dynamics.

Odunlami noted that, however, adoption in Nigeria and sub-Saharan Africa remained constrained by infrastructure gaps, low investment in research and development, and slow uptake of 5G-enabled devices.

According to him, short to medium-term 5G adoption in sub-Saharan Africa was projected at 14 per cent to 17 per cent, significantly below global averages, underscoring the need for policy and investment support.

Odunlami said the NCC-PwC study would assess market dynamics, identify sources of market power, and provide evidence-based recommendations to promote fair competition, innovation and service quality.

He added that the study would rely on accurate, timely and complete data submission by stakeholders, with confidentiality assured under existing non-disclosure agreements.

The Nigerian Guild of Editors, in a goodwill remark, described the initiative as germane and crucial, noting that Nigerian telecommunications industry is a critical driver of economic growth and essential in a world where everything revolves round telecommunication. 

Represented on the occasion by its vice president (West), Dr. Kabir Alabi; and Standing Committee Member (West), Ms Rose Moses, the Guild noted that understanding competition dynamics is essential for informed policy decisions, and therefore, expressed confidence that the “study will examine the current state of competition, identify challenges, and provide actionable recommendations that would make the industry more robust for the good of Nigeria as a country and Nigerians as a people.”

While the Guild believes that the findings in the study would contribute to a more competitive, innovative, and inclusive sector, benefiting all Nigerians, it urged that the study should not lose sight of the increasing cost of calls and data without corresponding service delivery.

The NCC also said the findings of the study would guide proportionate, forward-looking regulatory interventions aimed at preventing anti-competitive practices, protecting consumers and ensuring the long-term stability of Nigeria’s telecom sector.
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