Telecom
Tier II Operators Urge NCC to Reinstate Data Price Floor
The immediate reinstatement of the data floor price has returned to the front burner of discussions within the telecom industry especially within the ranks of Tier II players who are defined by the Nigerian Communications Commission(NCC) as having less than 7.5% of the market share or have been in operation for less than three years.
The issue was front and center at the recently concluded BusinessDay Broadband Summit which held last week in Lagos.
During a panel discussion, which proceeded under the theme, “Broadband for All by 20178: Where are we?” Funke Opeke, CEO of MainOne had raised the question: “are there alternatives to raising the data price floor especially in this recession?” This was after she had already made the point that “broadband deployment is capital and infrastructure intensive. We need govt support.”
Her poser had elicited passionate responses from chief executives and top management staff of telecoms companies present.
Kamar Abass, CEO ntel, was unequivocal in his response. “Increasing the data price floor ensures that operators can provide better services. It also ensures that they can get adequate returns on investments.”
David Venn, CEO, Spectranet was no less direct “we need sanity and a data floor because there is a lot of anti-competitive behaviour in the market.” Continuing with his submission, Venn added that “Quality of Service has fallen in the past 6 months because of Nigeria’s huge data hunger,” a state of affairs that has seen Tier II telecom companies offering unlimited packages in a bid to stay ahead of competition.
Providing another perspective to the issue, Tenu Awoonor, Director Strategy and performance Management at Airtel, a Tier I player, said there is a misconception which must be corrected. According to Awoonor, “reinstating the data price floor will not necessarily make broadband more expensive, rather it will help with penetration. We need better pricing to help ensure that operators stay afloat.”
The second panel which had the theme “Impact of Broadband on the Business Community” did not waste any time in returning to the topic.
Echoing Kamar Abass’ view from the first panel discussion, Gbenga Adebayo, President of Association of Licensed Telecoms Operators (ALTON) said “we need to revisit the issue of data price floor especially now that we are talking about broadband for all because there is a minimum price a telco must charge in order to stay in business. Where are the old players & ISPs?”
Adebayo went on to add that over 21 ISPs and pioneer Tier II CDMA operators had gone out of business because of the capital-intensive nature of the industry, predatory pricing by bigger operators and lack of commensurate returns on investment.
Olushola Teniola, president of another industry advocacy group, Association of Telecommunication Companies of Nigeria (ATCON) also harped on the data price floor issue where he said that “Without a review of the data services provisioning market structure, there is a serious risk of market failure with the resultant ripple effect. Current evidence suggests that with inflation at 17%, input costs at a per unit per Mb level, that retail data prices available on the market are unsustainable even with economies of scale, hence a serious distortion exists that needs immediate regulatory intervention
Commenting further on the issue, Dr. Olayinka David-West, Academic Director at the Lagos Business School, said in order for telcos to continue to deliver value and ensure optimal Quality of Service to customers there must be the right balance of “affordability and value or else they won’t be able to provide the right services in a broadband world.”
At the end of the discussions, the overwhelming consensus was that for services to improve telcos need to stay stable and profitable and these would depend a whole lot on the reinstatement of the data price floor which would guarantee better quality of service and value for the customers.
Telecom
Celebrating African Creativity: Made by Africa, Loved by the World’ Returns for Its Fifth Year
The “Made by Africa, Loved by the World” campaign is back for its fifth year, celebrating African creativity and global influence. This year’s theme, “Where Culture Meets Connection,” highlights how social media fosters conversations around cultural moments worldwide.
The campaign features three cinematic films premiering on the Meta Africa page, showcasing the groundbreaking work and personal stories of six dynamic African creatives.
These artists, from Nigeria, Kenya, Ghana, and South Africa, represent diverse disciplines, including rap, animation, dance, photography, fashion, and videography.
Here are some of the featured talents:
- Ladipoe (Nigeria) – A BET-nominated rapper known for blending global hip-hop with African rhythms.
- Fatboy Animations (Kenya) – An animation studio founded by Michael Muthiga, recognized by Forbes for its original African storytelling.
- Lisa Quama (Ghana) – A dancer who gained fame after appearing in Beyoncé’s “Already” music video.
- Gilbert Asante (Ghana) – A photographer and creative director featured in GQ and Glam Africa.
- David Tlale (South Africa) – A fashion designer whose bold designs have been showcased at major fashion events, including the Met Gala.
- Ofentse Mwase (South Africa) – A filmmaker with over 24 international awards for his unique visual storytelling.
Kezia Anim-Addo, Communications Director for Africa, Middle East & Turkey, emphasized that the campaign not only celebrates individual success stories but also showcases how culture and social media drive meaningful connections and inspiration.
Association of Telecommunications Companies of Nigeria (ATCON), has raised the alarm over a diesel supply crisis caused by an ongoing strike by the National Union of Petroleum and Natural Gas Workers (NUPENG).
Mr Tony Emoekpere, president, ATCON in a statement said that the fuel supply disruption is critically affecting telecom base stations, pushing them to the brink of a shutdown and threatening millions of mobile and internet users in the region.
“This strike, which stems from the persistent harassment of tanker and petroleum product drivers by police officers in Lagos State, has effectively halted all truck loading operations and fuel movements,” Emoekpere stated.
He explained that diesel supply to telecom infrastructure has been severely impacted, leaving critical sites with dangerously low fuel levels.
According to him, if urgent measures are not taken, the situation could escalate into a full-blown network blackout, disrupting essential services, including mobile and internet access, business operations, emergency response systems, and daily communications.
ATCON has called on the governors of Lagos and Ogun states to intervene immediately by facilitating the release of diesel from depots to telecom operators to prevent further deterioration of the situation.
“This is not just a telecom issue—it is a national emergency that could cripple economic activities and compromise public safety,” Emoekpere stressed.
The association also appealed to security agencies and petroleum unions to resolve the crisis swiftly to safeguard Nigeria’s connectivity and economic stability.
ATCON emphasised that a prolonged disruption in fuel supply to telecom infrastructure could have far-reaching consequences for both businesses and individuals who rely on stable communication networks for daily operations.
In 2023, Nigerians spent a total of about ₦5.3 trillion on telecommunications services, which includes calls, data, SMS, and other telecom services, according to the Leadership.
Specifically for voice calls, Nigerians made approximately 408.5 billion minutes of local calls, generating around ₦3.28 trillion from outgoing calls and ₦3.23 trillion from incoming calls, totaling about ₦6.51 trillion in call-related revenue according to projections based on 2023 call volumes and tariff data.
However, the ₦5.3 trillion figure represents the overall telecom sector revenue, with voice calls being a major component but also including data and other services.
For individual spending, MTN subscribers spent an average of ₦2,508 monthly on voice calls in 2023, showing a 14.4% increase from 2022, while Airtel customers spent about ₦1,694 monthly on voice calls.
Total telecom spending (calls, data, SMS, etc.): ₦5.3 trillion in 2023
Estimated revenue from voice calls alone: around ₦6.5 trillion based on call minutes and tariffs
Average monthly spending on calls per subscriber: ₦1,694 to ₦2,508 depending on the network
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