The Nigerian Communications Commission (NCC) has explained the imperativeness of its ongoing stakeholders’ engagement aimed at reviewing the nation’s telecommunications industry competitiveness, saying the initiative is aimed at aligning the commission’s regulatory policies with emerging fiscal and investment dynamics in the industry.
Speaking during a stakeholders’ forum on the Study of Competition in the Nigerian Telecommunications Industry, organised by the commission in Lagos, Head of Tariff, Policy, Competition and Economic Analysis Department at the NCC, Mrs. Omotayo Mohammed, said the review had become necessary due to the fast-evolving nature of the telecoms market.
Mohammed noted that current changes in revenue models, investment patterns, and market interactions had altered the competitive dynamics in the sector, hence the need to engage stakeholders on the review.
Specifically, she identified the fast-evolving technological advancement, rising investment costs, changing consumer behaviour, and increasing competitive pressure as raising concerns around market concentration, barriers to entry, and the long-term viability of smaller operators.
Mohammed expatiated: “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 added.
Recalling 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, Mohammed pointed out that given ongoing developments in technology, market structure, and consumer behaviour, a holistic reassessment of competition across the entire telecommunications value chain had become imperative.
She clarified that the study remained diagnostic and evidence-based, and was not designed to pre-judge outcomes or single out any operator.
In his speech at the forum, PwC Network Director for Strategy, Mr. Akolawole Odunlami, described the review as timely, particularly at a time when the global telecoms industry is experiencing major innovative and structural changes.
He maintained: “While the global market is projected to reach $1.3 trillion by 2028, annual growth has slowed to between 2 and 3 per cent, down from roughly 4 per cent before the COVID-19 pandemic. Subscriber numbers in sub-Saharan Africa continue to rise, yet average revenue per user is declining, intensifying competition and pressuring traditional business models.”
Odunlami explained that consumer behaviour had been shifting toward digital-first experiences, including entertainment, financial services, self-service applications, and social connectivity, with data as the backbone.
This is even as he pointed out that telecom operators were integrating lifestyle services, while Over-The-Top (OTT) platforms such as WhatsApp and Microsoft Teams continued to disrupt traditional voice and messaging revenues.
The business consultancy services expert projected that emerging technologies such as 5G and future 6G networks would further reshape competitive dynamics, noting, however, that the adoption in Nigeria and sub-Saharan Africa remains limited due to infrastructure gaps, low R&D investment, and slow uptake of 5G-enabled devices.
Citing a study by his firm to justify his point, Odunlami disclosed that PwC estimated short- to medium-term 5G adoption in the region at just 14–17%, which is far below global averages.
Industry experts believe that the telecoms industry competitive study by the NCC is a welcomed development at a time when concerns are accentuating over market dominance and the long-term sustainability of fair competition.
Photo Caption
L-R: Federal Competition and Consumer Protection Commission (FCCPC) South-West Zonal Coordinator, Dr Olubunmi Otti; Head Competition and Tariff, Nigerian Communications Commission (NCC); Mrs. Omotayo Mohammed; Partner at PricewaterhouseCoopers ( PwC), Mary Iwelumo, at the stakeholders’ forum on the study of the level of competition in the voice and data segment of the Nigerian telecommunications Industry on Tuesday in Lagos
