BY CHIDIEBERE NWANKWO
The Nigerian Communications Commission (NCC) had over the years harped on healthy competition as one of the drivers of growth in the telecoms sector, and has created policies around it to guide operators against dominance.
In furtherance of this, the regulatory Commission held a Stakeholders’ Forum on the Study of the Level of Competition in the voice and data segment of the Nigerian telecommunications Industry in Lagos on Tuesday.
The Forum, organized in collaboration with the Federal Competition and Consumer Protection Commission (FCCPC) and PricewaterhouseCoopers (PwC), aimed to gather stakeholders’ input while the regulator reassessed the level of competition in the industry.
In her opening remarks at the Stakeholders’ Forum, Head, Competition and Tariff at the NCC, Mrs. Omotayo Mohammed, while referencing a similar report done about 13 years ago, noted that the telecom market has evolved significantly over the past years.
She noted that the telecoms industry, which contributed about 9.1% to national GDP as at Q3 2025, remained a critical enabler of growth, inclusion, innovation and service delivery across all sectors of the economy, hence the need for the study in order to protect the sector from undue influence.
According to her, competition is the engine that drives innovation, affordability, and consumer choice. But competition must also be fair, effective, and sustainable. Our task as a regulator is to strike the right balance, one that protects consumers, rewards efficiency and investment, and keeps the market open to new ideas and new entrants.
“The last comprehensive, industry-wide competition study undertaken by the commission was concluded in 2013. A few targeted, bespoke studies have since been conducted across specific services and market segments such as Mobile Voice Termination Rate 2018 and Mobile Voice International Termination Rate 2022. However, developments in technology, market structure, and consumer behaviour now necessitate a holistic reassessment of competition across the telecommunications value chain.” Mohammed further said.
Speaking on the new study, Mohammed said: “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 study has been designed to capture both supply-side and demand-side dimensions of the market. On the supply side, it will assess market structure, levels of concentration, pricing behaviour, access to essential facilities, barriers to entry and expansion, and the intensity of competitive rivalry. On the demand side, it will examine consumer usage patterns, switching behaviour, affordability, service quality, and the extent to which, consumers are able to exercise informed choice.”
Stakeholders at the Forum, however called on the NCC to put regulatory measures in place that would enable both the big and the small operators co-exist profitably in the Nigerian telecoms space.
Industry statistics shows that MTN and Airtel dominate Nigeria’s telecom market, controlling over 86% market share, with MTN alone controlling 51-52% market share and Airtel about 34%, followed by Glo with 12% and T2 with 2%, while smaller operators still struggle to gain market share.
Partner and Public Sector Lead at PwC Nigeria, Mary Iwelumo, who led the PwC team, assured smaller operators of objectivity and fairness of the study, adding that the study, which is centered on industry competition for voice and data connectivity in the telecoms industry, is not intended to expose the operations of the telecoms industry, but to ensure better service delivery to consumers of telecoms services.
She therefore called on telecoms operators to comply with early submission of information that will help the PwC team in the study.
Also speaking, Director, Strategy, PwC Network, Akolawole Odunlami, disclosed that in sub-Saharan Africa, while the subscriber base continues to grow, most operators are experiencing declining average revenue per user (ARPU).
Odunlami referenced: “Competition in the sector is also evolving. Beyond new entrants, innovative business models and connectivity options are reshaping the market. Globally, for example, AI has driven significant economic growth, with the U.S. seeing 90% of first-half 2025 growth attributed to AI investments in hyperscale data centers. In Nigeria, while more data centers are emerging, investment in AI-capable infrastructure remains limited. A conducive regulatory environment is essential to support such advancements.
Market dominance can arise from four factors: innovation, investment, go-to-market strategy, or anti-competitive practices. Regulatory focus is on ensuring that leadership gained through anti-competitive practices does not undermine the market. Sustainable market leadership is encouraged when achieved through innovation, superior investment, and effective market strategies.”
The current study by NCC and PwC is diagnostic and data-driven, aiming to Assess market dynamics, structure, concentration, and operator behavior; Identify significant market power and its impact on competition; and Enhance regulatory oversight and review existing frameworks.
He further expounded: “Others are, promote fair competition and provide evidence-based recommendations to foster innovation and service quality; and develop the capacity of the regulator to continuously assess competition and make informed decisions,” he said.
He said the scope includes independent, evidence-based assessment of market structure, pricing, entry and expansion barriers, consumer behavior, and service quality. Accurate, timely, and complete data submission from stakeholders is critical. Interviews, both virtual and in-person, will follow initial data collection to ensure comprehensive engagement.
