NCC Partners with PwC to Scrutiny Nigeria’s Telecoms Market
The Nigerian Communications Commission (NCC) has engaged PricewaterhouseCoopers (PwC) to carry out a wide-ranging review of competition in Nigeria’s telecommunications industry. The move comes amid rising concerns over market dominance, entry barriers, and the long-term sustainability of fair competition.
The development was made on Tuesday during a stakeholders’ forum on the Study of Competition in the Nigerian Telecommunications Industry, organised by the Commission in Lagos.
The initiative underscores the sector’s critical role in Nigeria’s digital economy, which contributed 9.1 per cent to the country’s Gross Domestic Product (GDP) in the third quarter of 2025.
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.
Mohammed noted that changes in revenue models, investment patterns, and market interactions have significantly altered competitive dynamics in the sector.
She highlighted that 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.
She stated further 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.
According to her, given developments in technology, market structure, and consumer behaviour, a holistic reassessment of competition across the entire telecommunications value chain has become imperative.
She added 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, Mr. Akolawole Odunlami, PwC Network Director for Strategy, described the review as timely, adding that the global telecoms industry is experiencing major structural changes.
Odunlami said “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.”
He explained that consumer behaviour is shifting toward digital-first experiences, including entertainment, financial services, self-service applications, and social connectivity, with data as the backbone.
Telecom operators, he said are increasingly integrating lifestyle services, while Over-The-Top (OTT) platforms such as WhatsApp and Microsoft Teams continue to disrupt traditional voice and messaging revenues.
Odunlami affirmed that emerging technologies such as 5G and future 6G networks will further reshape competitive dynamics, but adoption in Nigeria and sub-Saharan Africa remains limited due to infrastructure gaps, low R&D investment, and slow uptake of 5G-enabled devices.
He noted that PwC estimates short- to medium-term 5G adoption in the region at just 14–17 per cent, below global averages.
Market Context
The competition study comes as Nigeria’s telecoms market welcomes new entrants, including Mobile Virtual Network Operators (MVNOs). While MVNOs leverage existing mobile network infrastructure, stakeholders have raised concerns that market dominance by existing players could stifle competition.
As previously reported, of the 43 companies licensed as MVNOs two years ago, only one has launched full commercial operations, highlighting ongoing challenges in the sector’s competitive landscape.