The Nigerian Communications Commission (NCC) has commenced a comprehensive competition study in the telecommunications sector aimed at addressing concerns about market dominance and ensuring fair, effective and sustainable competition across the industry.
The Commission disclosed this at a stakeholders’ forum on the Study of Competition in the Nigerian Telecommunications Industry, held in Lagos in collaboration with PricewaterhouseCoopers (PwC).
Speaking at the forum, the Head of Tariff, Policy, Competition and Economic Analysis Department at the NCC, Mrs. Omotayo Mohammed, said the exercise was necessary to validate existing competition policies against present-day market realities.
According to her, the telecommunications sector — which contributed about 9.1 per cent to Nigeria’s Gross Domestic Product (GDP) as of the third quarter of 2025 — has experienced significant shifts in revenue models, investment patterns and market interactions.
She noted that rapid technological changes, evolving consumer behaviour, rising investment costs and growing competitive pressures have heightened concerns around market concentration, barriers to entry and the sustainability of smaller operators.
Mohammed explained that the last comprehensive, industry-wide competition study conducted by the NCC was concluded in 2013, while subsequent reviews focused only on specific services and segments. She said the current dynamics in technology, market structure and user behaviour now require a holistic reassessment of competition across the entire telecommunications value chain.
She emphasised that the study is diagnostic and evidence-based, and not designed to pre-judge outcomes or single out any particular operator.
Also speaking at the event, Akolawole Odunlami, Director of Strategy at PwC Network, described the study as timely given the slowing growth and structural shifts in the global telecommunications industry.
Odunlami said the global telecoms sector is projected to reach about 1.3 trillion dollars by 2028, but annual growth has slowed to between two and three per cent, compared to about four per cent before the COVID-19 pandemic.
He noted that although subscriber numbers in sub-Saharan Africa continue to rise, many operators are experiencing declining average revenue per user (ARPU), intensifying competition and putting pressure on traditional business models.
According to him, consumer behaviour has also evolved, with users becoming increasingly digital-first and seeking experiences powered by connectivity rather than just traditional 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 added that telecommunications operators globally are integrating lifestyle services into their platforms, enabling users to access utilities, healthcare and fintech services through mobile applications.
Odunlami also pointed out that Over-The-Top (OTT) platforms such as WhatsApp and Microsoft Teams have disrupted traditional voice and messaging revenues, making data the primary driver of communication and service delivery.
He said emerging technologies, including the rollout of 5G and future 6G networks, would further reshape competitive dynamics. However, he noted that adoption in Nigeria and much of sub-Saharan Africa remains limited 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 is projected at between 14 per cent and 17 per cent, far below global averages, highlighting the need for supportive policies and increased investment.
Odunlami said the NCC-PwC study would examine market dynamics, identify sources of market power and provide evidence-based recommendations to promote fair competition, innovation and improved service quality.
He added that the study would depend on accurate and timely data submission by stakeholders, with confidentiality guaranteed under existing non-disclosure agreements.
The NCC stated that the findings would guide proportionate and forward-looking regulatory interventions aimed at preventing anti-competitive practices, protecting consumers and ensuring the long-term stability of Nigeria’s telecommunications sector.
