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Telecom

Telcos Lose N119Bn Monthly as Subscribers Abandon SIM Cards

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MTN Nigeria, Globacom, Airtel, 9Mobile and ntel, the country’s main mobile network operators (MNOs), are losing monthly a handsome sum of potential revenues running into billions of naira to the rising profile of abandoned subscriber’s identity module (SIM) cards in the country.

Telcos Lose N119Bn Monthly as Subscribers Abandon SIM Cards

According to report by business a.m., online news medium, as the total number of inactive SIM cards peaked at 85.49 million at the end of October this year, the total monthly amount lost by operators of global service for mobile communication (GSM) amounted to N118.983 billion.

Business a.m. said it arrived at the figure using the current average revenue per user (ARPU) in the industry which stands at $3.85 monthly at N362.464 to one dollar as benchmark exchange rate.

Experts in the industry have explained that by the Nigerian telecoms industry standard, a SIM card is labelled inactive after the subscriber failed to use it to access any telecommunications services for a period of 90 days at a stretch.

Data obtained from the industry regulator, the Nigerian Communications Commission (NCC) revealed that since inception of GSM services in the country, a total of 265.61 million telephone lines have been sold and connected by the MNOs including MTN, Globacom, Airtel, 9Mobile, nTel.

Analysis of latest industry figure from the NCC shows that within the first 10 months of 2019, a total of 6.33 million lines were made redundant by their holders despite 7.63 million new lines that were activated.

The trend of inactive lines continued in the country despite the rise in active mobile phone lines and tractions recorded in teledensity which at the end of October stood at 180.12 million and 94.50 per cent respectively.

In January this year, out of 249.22 connected lines, 75.59 million or 30.33 per cent were inactive. In February, 75.17 million, an equivalent of 30.26 per cent of total 248.45 million connected lines went completely offline, and as at March, out of a total 250.26 million lines that have so far been issued by operators, 76.83 million or 30.7 per cent were inactive.

The percentage went up in April (31.49 per cent), May (31.98 per cent) and June (32.78 per cent) when 79.67 million, 81.51 million and 84.74 million of total 253.05 million, 254.92 million and 258.49 million SIM connections were redundant respectively.

In July and August, out of 259.14 million and 263.62 million connected lines, 84.74 million or 32.55 per cent and 87 million or 33 per cent in that order were inactive.

As at the end of September, 85.5 million or 32.34 per cent of 264.40 million total connected lines had been abandoned for at least 90 days, while in October, 85.49 million subscriptions or 32.19 per cent out of total 265.61 million were inactive, leaving 180.12 million as the current active subscriptions in the system.

Telecoms consumers in Nigeria have been found to live multi-simming lifestyle where one person is in possession of more than one SIM card registered to his identity.

This trend is further promoted by the design and configuration of mobile devices type-approved by the NCC as many of the devices are made to accommodate more than a SIM card conveniently.

The operators have also been  accused of contributing to the rising trend of inactive telephone lines in the system as their sales agents are often seen aggressively giving out SIM cards to existing and potential customers for free, or selling and registering the lines at ridiculously low prices.

Some subscribers told business a.m. during informal chats with them that they sometimes activated a SIM card just to enjoy a promo service being offered at that time by the operators, after which they ditched the telephone lines.

While telephone numbers assigned by the NCC to operators in ranges is seen as a scarce national resource, some industry experts hold that the situation is still normal since total active lines outnumber abandoned ones.

According to Olusola Teniola, the president of Association of Telecommunications Companies of Nigeria (ATCON), loyalty of prepaid customers to their networks is minimal, hence, it is easy for them to drop a line and go for another one.

He said: “With increasing migration of prepaid subscribers, from a usage basis, this means that there is far less loyalty to remain with an operator and easy for expats and mobile road warriors to dispense with SIM cards and return to obtain another SIM card when they return to Nigeria.

“So it is still okay that number of active SIM cards exceeds the number of inactive SIM cards. If it happens otherwise, it signifies saturation or heavy churn due to alternative offerings over Wi-Fi or other non-based SIM devices,” Teniola said.

He, however, observed that the telcos needed to win more post-paid subscribers to reduce the number of inactive lines.

“With more post-paid accounts the number of inactive SIM cards should decrease, as the SIM is usually provisioned subject to a tenured contract being in place,” he said.

Meanwhile, in a recently released numbering plan regulation, NCC said it would henceforth withdraw inactive lines after 12 months.

“Subscriber numbers that have not generated revenue by originating calls will automatically be recovered after 12 consecutive months,” part of the new numbering plan read.

In the new plan, NCC said it would conduct regular audit in order to ascertain the level of utilisation of numbers assigned to operators.

“The numbers issued will be categorised as follows: Assigned i.e. total number assigned by the regulator including operator codes; Quantity of numbers already assigned and sold to subscribers (SIM cards); Quantity of numbers in trade channels i.e. numbers with assigned SIM cards but not yet sold; Revenue generating subscribers during the preceding 90 days prior to the reporting period; and Quantity of numbers in quarantine,” the commission said.


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Telecom

Gaps on Phone Number Recycling Fuel Identity Theft, Data Breaches- ICIR

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When Okezie Kelechi lost his SIM card, the one he had used since his secondary school days, he didn’t think much of it.

Gaps on Phone Number Recycling Fuel Identity Theft, Data Breaches- ICIR

He was shocked weeks later to find out it had been reassigned to someone else.

“I had no idea that if your SIM card has been inactive for more than three months, they will resell it,” he wrote on social media.

“They recycled my SIM card and sold it. Same number, I have had it since secondary school.”

Kelechi’s story is far from unique.

Across Nigeria, more people are waking up to the realities of what is known as SIM recycling, a process where telecommunication companies reassign inactive phone numbers to new users. While allowed under existing rules set by the Nigerian Communications Commission (NCC), the practice is now raising serious concerns over data privacy, fraud, and national security.

A regulatory gap with real-life consequences

Experts in Nigeria’s telecommunications and security sectors are increasingly warning that the NCC’s failure to establish stronger oversight of SIM recycling is endangering millions.

“Beyond the data breaches, this issue posed a big threat to national security. I have always maintained the need for a central data system in Nigeria,” said Daniel Makolo, a retired senior official of the Nigerian Immigration Service to The ICIR.

“There’s much more to this if we don’t pay attention to an appropriate central data mining system that gives us a history of each person in the country.”

Ayodele Ajayi, an engineering professor at the Federal University of Technology, Akure, explained the security risks from his own experience.

“I used to have one Airtel number, but I travelled out. Before I came back, it was reallocated to another user,” he said.

Because phone numbers are tied to Bank Verification Numbers (BVNs) and National Identity Numbers (NINs), reassigning them can expose people to identity theft and financial loss.

The NCC should find a way to notify users when their numbers are at risk of being deactivated, Ajayi urged.

He also recounted an incident he witnessed at a bank, “a woman was narrating how she used to have a particular number but lost it. Somebody saw the number and started using it.

The woman said that before she could act, the person who got the number had started using it and had connived with a bank office to almost wipe out all her savings.

“Upon arriving at the bank to check her account balance, she found out that she had only N50,000 left from about N5 million she had saved up.”

Ajayi emphasised that while recycling is a practical move for telcos to manage limited number availability, more caution is needed.

“Let people know so they can migrate their data to another line, particularly now that almost every channel we use is linked to the phone number, including our bank verification number (BVN)”, he stated.

Kelechi recalled that his number was reassigned to another user despite still being active on WhatsApp.

“I used to wonder why random Hausa boys were always messaging me and calling me baby.

He added that “when I finally visited MTN office in Nigeria, I was told the line has been sold to someone else. E pain me, I no go lie.”

Another social media user Elizabeth Kandi, @DrETKandi warning others about the hidden risks of SIM inactivity alleges that when reassigned the new user can have  access to your USSD banking.

“If your Nigerian number was connected to your Nigerian bank accounts for USSD, if you didn’t use it for long, the network provider can disconnect and sell the number to someone else…but that person would be able to access your money via USSD,” Kandi wrote.

Her post underscores the growing fear that recycled numbers, still linked to sensitive services like mobile banking, can open the door to fraud and financial loss

Why do Telcos recycle SIMs?

At a virtual stakeholder meeting in April 2025, NCC Executive Vice Chairman Aminu Maida acknowledged the concern noting that with the evolving landscape, it has become necessary to address emerging challenges that could undermine consumer rights.

He further noted that the Quality-of-Service Business Rules 2024 stipulate that a prepaid line without a revenue-generating event for six months must be deactivated.

This means if a prepaid SIM card goes unused for six months (i.e., no calls, texts, or data use), it must be deactivated.

If the inactivity continues for another six months, the number may be recycled/reallocated to a new user.

In Section 28 of the NCC’s draft business  it is stated that all recycled SIMs must be purged of any NIN attached  to allow a new user to link their own NIN. But real-world cases suggest that in practice, many recycled numbers are not properly sanitised before reassignment.

The business case for SIM recycling

For telecom operators, recycling isn’t just a technical choice, it’s economic.

Gbenga Adebayo, chairman, Association of Licensed Telecoms Operators of Nigeria (ALTON), explained that subscribers do not have ownership rights to SIM cards in their possession, as the telecom operators pay procurement and recurring costs for each registered subscriber.

He further explained that SIM cards are “recycled” to prevent number exhaustion while reducing the cost of generating and maintaining them.

“SIM cards are reassigned to reduce the dormant subscribers, as telcos are profit-oriented organisations,” Adebayo said.

In the exercise of its powers under Section 70 of the NCC Act (2003), the commission made provisions for the development of a new numbering plan for Nigeria. Under the provision, telcos are obligated to pay a sum that is the ‘numbering plan fees’ to maintain their allocated numbers.

 

 


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Airtel Recommits to Fraud Prevention after NCC’s N104m Fine for SIM Registration Breaches

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Airtel Nigeria has restated its commitment to transparency, customer safety, and regulatory collaboration following recent regulatory enforcement by the Nigerian Communications Commission (NCC).

Airtel Recommits to Fraud Prevention after NCC’s N104m Fine for SIM Registration Breaches

The NCC had served Airtel Nigeria a notice of sanction over some alleged SIM infractions in Kano State and consequently slammed a fine of N104 million on the telecommunications firm.

NCC had in  a letter, addressed to Airtel Nigeria Chief Executive Officer, dated May 26, 2025, signed by Chizua Whyte, head, Legal and Regulatory Services, and Mohammed Dari, acting head, Compliance Monitoring and Enforcement,  on behalf of Dr Aminu Maida, executive vice chairman, NCC,  titled: ‘Notice of Sanction: Non-Compliance with SIM Registration Directive in Kano,’ where the infractions were spelt out.

According to NCC, Airtel infractions include unauthorised SIM registrations using 198 unapproved devices, resulting in 8,275 registrations outside the 281 verified Airtel shops; premature activation of 63 MSISDNs prior to proper SIM registration, contrary to the provisions of the Registration of Communications Subscribers Regulations 2022; failure to conduct effective eyeballing, leading to 407 fraudulent SIM registrations with multiple NINs, contrary to the provision of the Registration of Communications Subscribers Regulations 2022 and failure to provide satisfactory explanation for SIM registrations conducted between 12.00 a.m and 6.00 a.m.

On the matter, the letter revealed that there were some letter exchanges and subsequent meetings on the infractions between the telecom regulator and Airtel, starting from January 12, 2025, March 19, 2025, March 24, 2025, and March 27, 2025, respectively.

Apparently, after investigations and responses from Airtel, the NCC was not satisfied and this led to the fine of N104 million, which was to be paid within seven days from the date the letter was issued.

Specifically, NCC fined Airtel N5 million, N12 million, N81.4 million and N5 million for the infractions respectively.

Reacting, Airtel, expressed appreciation to the NCC for uncovering the infractions, describing the development as a critical opportunity to strengthen internal processes and further align with national security and regulatory expectations

“We thank the NCC for its vigilance and continued support in protecting the integrity of the telecoms ecosystem. Airtel takes these findings seriously and is already implementing corrective measures,” a spokesperson for the company said.

Only recently, Airtel Nigeria’s CEO recently announced that the company is doubling its investment in the country, focusing on network expansion, fiber-to-the-street rollout, 4G/5G deployment, customer care upgrades, and digital infrastructure security.

These investments reinforce Airtel’s long-term vision of building a resilient and forward-looking telecom network that meets the evolving needs of Nigerians.

“Our systems are constantly evolving to stay ahead of scammers and malicious actors,” the spokesperson added. “This is not just about compliance; it’s about our responsibility to the millions of Nigerians who rely on Airtel daily.”

Airtel Nigeria says it will continue to work closely with the NCC and other arms of government to ensure high standards of service and safety for all telecom users nationwide.

 

 

 

 


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Kenya Beats Nigeria As the Most Progressive ICT Regulation in Africa

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Kenya is celebrating its regulatory ecosystem being ranked as the most progressive in Africa. The International Telecommunications Union (ITU) has ranked the East African country first in its most recent ICT Regulatory Tracker.

ITU’s ICT Regulatory Tracker is an evidence-gathering tool for decision-makers and regulators. It demonstrates the effectiveness of regulatory systems in the age of technology.

The ITU evaluates the design of the national regulatory authority, the scope of the regulatory mandate, the obtaining regulatory environment, and the robustness of the competition framework in member countries.

Kenya received 93 points, up from 92 in 2023, and now leads the continent in best practices for ICT regulations.

Nigeria and South Africa finished second and third, with 92 and 88 points respectively. Malawi, Egypt, Rwanda, Morocco, Uganda, Burkina Faso, and Senegal complete the top 10 list.

Globally, Kenya was ranked 20th out of 194 countries covered.Italy led the rankings, with 100 points.

The regulator, Communications Authority (CA) of Kenya, said the achievement underscored Kenya’s commitment to creating a robust, technology-neutral regulatory environment that supports innovation, affordability and access.

Steve Isaboke, permanent secretary for broadcasting and telecommunications, visited CA Centre in Nairobi following the announcement on Thursday.

“The ranking is a clear testament of the excellent work that CA has done in spearheading Kenya’s digital transformation and driving digital access for all,” he said.

“After 25 years, CA’s regulatory regime has attained maturity, and gained global recognition. This ranking shows that the CA staff and leadership are executing their work diligently.”


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