NCC Partners PwC on Competitive Health Review of Nigeria’s Telecom Industry »

The Nigerian Communications Commission (NCC) has engaged Price waterhouse Coopers (PwC) to conduct a comprehensive review of competition in Nigeria’s telecommunications industry, amid growing concerns over market dominance and the sustainability of fair competition.

The development was disclosed at a stakeholders’ forum on the Study of Competition in the Nigerian Telecommunications Industry, held in Lagos on Tuesday.

The initiative comes as the telecoms sector remains a key pillar of Nigeria’s digital economy, contributing 9.1% to GDP as of Q3 2025, while undergoing rapid structural and technological changes.

According to the Commission, the study aims to validate existing competition policies against current market realities, following shifts in technology, business models, and consumer behaviour across the industry.

What they are saying

Speaking at the forum, Mrs. Omotayo Mohammed, Head of Tariff, Policy, Competition and Economic Analysis Department at the NCC, said the review had become necessary due to the fast-evolving nature of the telecoms market.

She noted that changes in revenue models, investment patterns, and market interactions have significantly altered competitive dynamics in the sector.

According to her, rapid technological advancement, rising investment costs, changing consumer behaviour, and increasing competitive pressure have heightened concerns around market concentration, barriers to entry, and the long-term viability of smaller operators.

“To support evidence-based decision-making, the Commission has engaged PricewaterhouseCoopers to conduct an independent, data-driven study on the level of competition in the Nigerian telecoms industry.

“The engagement reflects the Commission’s emphasis on methodological rigour, analytical independence, and alignment with international best practices in competition and economic analysis,” she said.

Mohammed added that the NCC’s last comprehensive, industry-wide competition study was concluded in 2013, while subsequent reviews focused only on specific services and market segments.

Given developments in technology, market structure, and consumer behaviour, she said a holistic reassessment of competition across the entire telecommunications value chain has become imperative.

She stressed that the ongoing study is diagnostic and evidence-based, and is not designed to pre-judge outcomes or single out any operator.

Also speaking at the forum, Akolawole Odunlami, Director, Strategy at PwC Network, described the study as timely, citing structural shifts and slowing growth in the global telecommunications industry.

He noted that the global telecoms market is projected to reach $1.3 trillion by 2028, but annual growth has slowed to 2–3%, compared with about 4% year-on-year growth before the COVID-19 pandemic.

While subscriber numbers in sub-Saharan Africa continue to rise, Odunlami said many operators are experiencing declining average revenue per user (ARPU), intensifying competition and putting pressure on traditional business models.

He added that consumer behaviour has also evolved, with users increasingly seeking digital-first, connectivity-enabled experiences, rather than standalone 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,” he said.

Odunlami explained that telecom operators globally are expanding beyond traditional services by integrating lifestyle and platform-based offerings, including utilities, healthcare, and fintech, while over-the-top (OTT) services such as WhatsApp and Microsoft Teams continue to erode voice and messaging revenues.

He added that emerging technologies like 5G and future 6G networks will further reshape competition, although adoption in Nigeria and sub-Saharan Africa remains constrained by infrastructure gaps, limited R&D investment, and slow uptake of 5G-enabled devices.

PwC projects short- to medium-term 5G adoption in sub-Saharan Africa at 14–17%, well below global averages, highlighting the need for stronger policy support and investment.

The competition review comes as Nigeria’s telecoms market welcomes newly licensed Mobile Virtual Network Operators (MVNOs).

While MVNOs are expected to leverage existing infrastructure of mobile network operators, stakeholders have raised concerns that market concentration could limit their ability to compete effectively.

Only one out of the 43 MVNOs licensed two years ago had commenced commercial operations as of November last year.