Lagos: The Nigerian Communications Commission (NCC) has commenced a comprehensive study on competition in the telecommunications sector to address concerns around market dominance and ensure fair, effective, and sustainable competition. NCC announced this initiative during a stakeholders’ forum on the Study of Competition in the Nigerian Telecommunications Industry, conducted in collaboration with PricewaterhouseCoopers (PwC) in Lagos.
According to News Agency of Nigeria, at the forum, Mrs. Omotayo Mohammed, Head of Tariff, Policy, Competition and Economic Analysis Department of NCC, emphasized that the study was necessary to validate existing competition policies against current market realities. The telecommunications sector contributed about 9.1 per cent to Nigeria’s Gross Domestic Product (GDP) as of the third quarter of 2025. The sector has experienced significant changes in revenue models, investment patterns, and market interactions. Mohammed highlighted the rapid technological change, evolving consumer behavior, rising investment costs, and heightened competitive pressures that have increased concerns around market concentration, barriers to entry, and the sustainability of smaller players.
She explained that since the last comprehensive competition study by the Commission concluded in 2013, subsequent studies have focused on specific services and market segments. Current technological, market, and consumer behavior developments necessitate a holistic reassessment of competition across the telecommunications value chain. Mohammed stressed that the study is diagnostic and evidence-based, and it is not designed to pre-judge outcomes or single out any operator.
Akolawole Odunlami, Director of Strategy at PwC Network, also spoke at the forum, noting the study’s timeliness given the slowing growth and structural shifts in the global telecommunications industry. The global telecoms sector is projected to reach about 1.3 trillion dollars by 2028, but growth has slowed to about two to three per cent annually, compared to about four per cent year-on-year before the COVID-19 pandemic. While subscriber numbers in sub-Saharan Africa continue to increase, most operators face declining average revenue per user (ARPU), intensifying competition, and pressure on traditional business models.
Odunlami pointed out that consumer behavior has evolved, with users now being digital-first and seeking experiences powered by connectivity rather than just voice or data services. He stated that 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. Telecommunications operators globally are rethinking their business models by integrating lifestyle services into their platforms, allowing users to access utilities, health services, and fintech offerings through mobile applications.
Furthermore, Odunlami mentioned that Over-The-Top (OTT) platforms like WhatsApp and Microsoft Teams have shifted traditional voice and messaging revenues, making data the primary driver of communication and service delivery. The evolution of technology, including the rollout of 5G and future 6G networks, will further reshape competitive dynamics. However, adoption in Nigeria and sub-Saharan Africa remains constrained by infrastructure gaps, low investment in research and development, and slow uptake of 5G-enabled devices. Short to medium-term 5G adoption in sub-Saharan Africa is projected at 14 per cent to 17 per cent, significantly below global averages, underscoring the need for policy and investment support.
Odunlami stated that 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. The study will rely on accurate, timely, and complete data submission by stakeholders, with confidentiality assured under existing non-disclosure agreements. The NCC indicated that the study’s findings would guide proportionate, forward-looking regulatory interventions to prevent anti-competitive practices, protect consumers, and ensure the long-term stability of Nigeria’s telecom sector.